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Human Capital Externalities and Growth

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  • Carolina Arteaga Cabrales

Abstract

This paper proposes a methodology to estimate externalities in human capital as a response to the evidence of a worldwide divergent development. We estimate supply and demand for human capital in a five-year panel for 60 countries in the period 1980-2000, and found that there are positive externalities in human capital accumulation close to one, implying increasing returns to scale and increasing marginal returns in human capital which eliminates the channel that enables generating conditional convergence.

Suggested Citation

  • Carolina Arteaga Cabrales, 2010. "Human Capital Externalities and Growth," Borradores de Economia 631, Banco de la Republica de Colombia.
    • Handle: RePEc:bdr:borrec:631
    DOI: 10.32468/be.631
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    2. Özdemir Onur, 2023. "A Spillover Effect of Human Capital on Gross Capital Formation: A Quantile Regression Approach," Zagreb International Review of Economics and Business, Sciendo, vol. 26(1), pages 77-96.
    3. Carlos Esteban Posada Posada, 2021. "Could the Colombian economy grow faster? How it would be possible?," Documentos de Trabajo de Valor Público 19683, Universidad EAFIT.

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    More about this item

    Keywords

    Economic growth; human capital; externalities.;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • Y40 - Miscellaneous Categories - - Dissertations - - - Dissertations

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