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Interest Rate Policy and Human Capital and the Work Market

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  • Ryszard Domański

Abstract

In the text we describe how human capital is created by the individual investments of persons iein themselvesl, and how this process can be assisted or not by the macro-economic policy of the state especially the interest rate policy. We indicate how the production and accumulation of human capital is influence by the time horizon of thinking making the decision and the depreciation rate of human capital and how this translates into choices made on the education market. We show the interaction of the level of the interest rate on the demand for human capital and how this relates to the demand for employment understood as natural persons. We make suggestions concerning the correct pro-development economic policy of the state.

Suggested Citation

  • Ryszard Domański, 2002. "Interest Rate Policy and Human Capital and the Work Market," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 5.
    • Handle: RePEc:eko:ekoeko:5_24
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    File URL: http://ekonomia.wne.uw.edu.pl/ekonomia/getFile/441
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