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Growth channels of human capital: A Chinese panel data study

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  • Li, Tingting
  • Wang, Yong

Abstract

This paper studies the growth channels of human capital using the provincial level panel data in post-reform China. Specifically, it aims at distinguishing between the “factor-accumulation channel,” whereby human capital augments production as an input factor, and the “productivity channel,” whereby human capital affects output by raising total factor productivity. Our system GMM estimation results support the hypothesis that different types of human capital affect economic growth through different channels: Basic human capital contributes to growth via the “factor-accumulation channel” and advanced human capital via the “productivity channel,” both individually and simultaneously.

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  • Li, Tingting & Wang, Yong, 2018. "Growth channels of human capital: A Chinese panel data study," China Economic Review, Elsevier, vol. 51(C), pages 309-322.
    • Handle: RePEc:eee:chieco:v:51:y:2018:i:c:p:309-322
    DOI: 10.1016/j.chieco.2016.11.002
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    More about this item

    Keywords

    Human capital; Economic growth; Chinese panel data;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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