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Evaluating Human Capital Obsolescence

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  • Grip Andries de

    (ROA wp)

Abstract

Human resources are playing a central role in the knowledge economy that emerged in the Western world as the human capital embodied in both high-tech capital goods and the working population is a main determinant of the performance of individuals, organizations and national economies. Human resources stimulate technological change, whereas technological change stimulates the use of human resources. First, human capital is an important input factor in research & development, which is in particular emphasized by endogeneous growth theory (e.g. Romer, 1990). This is called the research effect of human capital (Cörvers, 1999). Second, high-skilled workers are of crucial importance for the diffusion of new technologies in the various sectors of the economy (Bartel & Lichtenberg, 1987). This is the diffusion effect of human capital.

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Bibliographic Info

Paper provided by Maastricht University, Research Centre for Education and the Labour Market (ROA) in its series ROA Working Paper with number 001.

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Date of creation: 2006
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Handle: RePEc:unm:umarow:2006001

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Keywords: education; training and the labour market;

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