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Investment in Human Capital, Migration and Economic Growth

In: Managing Economies, Trade and International Business

Author

Listed:
  • Aidan O’Connor

    (ESCEM School of Business and Management
    University of Osnabrück)

Abstract

Human capital is an integral part of production and a determinant of the rate of invention and innovation. The stock of and investment in the development of human capital, combined with social capital and institutions, that is, the intangible infrastructure, are contributors to economic growth due to the increasing returns associated with them. Human capital based economic growth depends on an increasing stock of knowledge and competencies and investment in education and training and an increase in the proportion of the population, both male and female, with the required qualifications. An economy that is unable to meet demand for the relevant required qualifications and competencies, in terms of quantity and quality, is likely to limit its capacity for growth. Human capital in the basis for endogenous economic growth and investment in human capital formation increases productivity.

Suggested Citation

  • Aidan O’Connor, 2010. "Investment in Human Capital, Migration and Economic Growth," Palgrave Macmillan Books, in: Aidan O’Connor (ed.), Managing Economies, Trade and International Business, chapter 2, pages 19-43, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-27401-3_2
    DOI: 10.1057/9780230274013_2
    as

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