Original title:
Specific and general human capital in an endogenous growth model
Authors:
Vourvachaki, E. ; Jerbashian, Vahagn ; Slobodyan, Sergey Document type: Research reports
Year:
2014
Language:
eng Series:
CERGE-EI Working Paper Series, volume: 520 Abstract:
In this paper, we define specific (general) human capital in terms of the occupations whose use is spread in a limited (wide) set of industries. We analyze the growth impact of an economy’s composition of specific and general human capital, in a model where education and R&D are costly and complementary activities. The model suggests that a declining share of specific human capital, as observed in the Czech Republic, can be associated with a lower rate of long run growth. We also discuss optimal educational policies in the presence of market frictions.
Keywords:
economic growth; education policy; human capital types Project no.: IAA700850902 (CEP) Funding provider: GA AV ČR