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Human Capital, Schooling and Health Returns

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  • T. Paul Schultz

    ()
    (Economic Growth Center, Yale University)

Abstract

A consensus has been forged in the last decade that recent periods of sustained growth in total factor productivity and reduced poverty are closely associated with improvements in a population's child nutrition, adult health, and schooling, particularly in low-income countries. Estimates of the productive returns from these three forms of human capital investment are nonetheless qualified by a number of limitations in our data and analytical methods. This paper reviews the problems that occupy researchers in this field and summarizes accumulating evidence of empirical regularities. Social experiments must be designed to assess how randomized policy interventions motivate families and individuals to invest in human capital, and then measure the changed wage opportunities of those who have been induced to make these investments.

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Bibliographic Info

Paper provided by Economic Growth Center, Yale University in its series Working Papers with number 853.

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Length: 26 pages
Date of creation: Apr 2003
Date of revision:
Handle: RePEc:egc:wpaper:853

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Keywords: Health; Productivity; Human Capital; Schooling; Returns;

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References

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  1. Strauss, John, 1986. "Does Better Nutrition Raise Farm Productivity?," Journal of Political Economy, University of Chicago Press, vol. 94(2), pages 297-320, April.
  2. Strauss, J. & Thomas, D., 1995. "Empirical Modeling of Household and Family Decisions," Papers 95-12, RAND - Reprint Series.
  3. Robert W. Fogel, 1994. "Economic Growth, Population Theory, and Physiology: The Bearing of Long-Term Processes on the Making of Economic Policy," NBER Working Papers 4638, National Bureau of Economic Research, Inc.
  4. Sahn, David E. & Alderman, Harold, 1988. "The effects of human capital on wages, and the determinants of labor supply in a developing country," Journal of Development Economics, Elsevier, vol. 29(2), pages 157-183, September.
  5. Strauss, John & Thomas, Duncan, 1995. "Human resources: Empirical modeling of household and family decisions," Handbook of Development Economics, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 34, pages 1883-2023 Elsevier.
  6. Thomas, D. & Strauss, J., 1997. "Health and Wages: Evidence on Men and Women in Urban Brazil," Papers 97-05, RAND - Reprint Series.
  7. T. Paul Schultz, 2004. "Wage Rentals for Reproducible Human Capital: Evidence from Ghana and the Ivory Coast," Yale School of Management Working Papers ysm420, Yale School of Management.
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  10. Schultz, T. Paul & Tansel, Aysit, 1997. "Wage and labor supply effects of illness in Cote d'Ivoire and Ghana: instrumental variable estimates for days disabled," Journal of Development Economics, Elsevier, vol. 53(2), pages 251-286, August.
  11. T. Paul Schultz, 1993. "Investments in the Schooling and Health of Women and Men: Quantities and Returns," Journal of Human Resources, University of Wisconsin Press, vol. 28(4), pages 694-734.
  12. John Komlos, 1994. "Stature, Living Standards, and Economic Development: Essays in Anthropometric History," Books by John Komlos, Department of Economics, University of Munich, number 11.
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  14. Esther Duflo, 2001. "Schooling and Labor Market Consequences of School Construction in Indonesia: Evidence from an Unusual Policy Experiment," American Economic Review, American Economic Association, vol. 91(4), pages 795-813, September.
  15. Griliches, Zvi, 1977. "Estimating the Returns to Schooling: Some Econometric Problems," Econometrica, Econometric Society, vol. 45(1), pages 1-22, January.
  16. Glewwe, Paul & Jacoby, Hanan G. & King, Elizabeth M., 2001. "Early childhood nutrition and academic achievement: a longitudinal analysis," Journal of Public Economics, Elsevier, vol. 81(3), pages 345-368, September.
  17. T. Paul Schultz, 2002. "Wage Gains Associated with Height as a Form of Health Human Capital," Working Papers 841, Economic Growth Center, Yale University.
  18. T. Paul Schultz, 2002. "Wage Gains Associated with Height as a Form of Health Human Capital," American Economic Review, American Economic Association, vol. 92(2), pages 349-353, May.
  19. Foster, Andrew D, 1995. "Prices, Credit Markets and Child Growth in Low-Income Rural Areas," Economic Journal, Royal Economic Society, vol. 105(430), pages 551-70, May.
  20. Jacoby, Hanan G & Skoufias, Emmanuel, 1997. "Risk, Financial Markets, and Human Capital in a Developing Country," Review of Economic Studies, Wiley Blackwell, vol. 64(3), pages 311-35, July.
  21. Deolalikar, Anil B, 1988. "Nutrition and Labor Productivity in Agriculture: Estimates for Rural South India," The Review of Economics and Statistics, MIT Press, vol. 70(3), pages 406-13, August.
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Citations

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Cited by:
  1. Dinda, Soumyananda & Gangopadhyay, P.K. & Chattopadhyay, B.P. & Saiyed, H.N. & Pal, M. & Bharati, P., 2006. "Height, weight and earnings among coalminers in India," Economics & Human Biology, Elsevier, vol. 4(3), pages 342-350, December.
  2. Neagu Olimpia, 2013. "Human Capital: Cause And Effect Of The Economic Growth. An Empirical Analysis," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 726-735, July.
  3. Brown, Drusilla K. & Downes, Thomas & Eggleston, Karen & Kumari, Ratna, 2009. "Human Resource Management Technology Diffusion through Global Supply Chains: Buyer-directed Factory-based Health Care in India," World Development, Elsevier, vol. 37(9), pages 1484-1493, September.
  4. Godoy, Ricardo & Magvanjav, Oyunbileg & Nyberg, Colleen & Eisenberg, Dan T.A. & McDade, Thomas W. & Leonard, William R. & Reyes-García, Victoria & Huanca, Tomás & Tanner, Susan & Gravlee, Clarence, 2010. "Why no adult stunting penalty or height premium?: Estimates from native Amazonians in Bolivia," Economics & Human Biology, Elsevier, vol. 8(1), pages 88-99, March.
  5. Price, Gregory N., 2013. "The allometry of metabolism and stature: Worker fatigue and height in the Tanzanian labor market," Economics & Human Biology, Elsevier, vol. 11(4), pages 515-521.
  6. Böckerman, Petri & Johansson, Edvard & Kiiskinen, Urpo & Heliövaara, Markku, 2010. "The relationship between physical work and the height premium: Finnish evidence," Economics & Human Biology, Elsevier, vol. 8(3), pages 414-420, December.
  7. Drusilla K. Brown & Thomas Downes & Karen Eggleston & Ratna Kumari, 2006. "Human Resource Management Technology Diffusion Through Global Supply Chains: Productivity and Workplace Based Health Care," Discussion Papers Series, Department of Economics, Tufts University 0616, Department of Economics, Tufts University.
  8. Akachi, Yoko & Canning, David, 2010. "Health trends in Sub-Saharan Africa: Conflicting evidence from infant mortality rates and adult heights," Economics & Human Biology, Elsevier, vol. 8(2), pages 273-288, July.
  9. María-Dolores, Ramón & Martínez-Carrión, José Miguel, 2011. "The relationship between height and economic development in Spain, 1850-1958," Economics & Human Biology, Elsevier, vol. 9(1), pages 30-44, January.
  10. Václav Urbánek & Kateřina Maršíková-Nepolská, 2005. "Financial Market in the Czech Republic and Human Capital Investment: Private Financing of Higher Education," Prague Economic Papers, University of Economics, Prague, vol. 2005(2), pages 131-146.
  11. Wolff, François-Charles & Maliki, 2008. "Evidence on the impact of child labor on child health in Indonesia, 1993-2000," Economics & Human Biology, Elsevier, vol. 6(1), pages 143-169, March.
  12. Haaparanta, Pertti & Puhakka, Mikko, 2004. "Endogenous time preference, investment and development traps," BOFIT Discussion Papers 4/2004, Bank of Finland, Institute for Economies in Transition.

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