Heterogeneous human capital and its measurement

1 Heterogeneous human capital and its measurement

China is the world's second largest economy,but China's economic development has been in uneven phenomenon.The role of human capital in the process of economic development is no doubt,but the effect of the human capital on economic development is not the same,the marginal revenue of human capital is different.In the process of economic development,which human capital has played a role in promoting economic growth?What role is not obvious?How does the heterogeneity of human capital structure adjustment?These problems will be analyzed in this paper.

Human capital heterogeneity refers to the differences in the skills,education,and social status and so on.Human capital in different regions is different in quantity,quality and structure,so the marginal return of human capital is different in different regions.The classic literature on human capital has been a lot of argumentation.

The specialization of human capital promotes the division of labor and technological progress,improve the efficiency and realize the increasing scale returns(Schultz,1961).Heterogeneity of human capital,such as technological knowledge capital,has a marginal revenue increase,can generate revenue growth model(Lucas,1988;Romer,1990).

In the domestic research,heterogeneous human capital in different regions is generally measured by three methods:cost method,income method and education index method.The cost method is a measure of human capital,which is related to the development of human capital.For example,the human capital stock is calculated from the cost of human capital investment(Qian Xueya,Liu Jie,2004).Income law is a measure of the value of human capital in terms of the present value of the lifetime of a person's life.For example,to estimate the value of human capital in terms of income(Zhu Pingfang,Xu Dafeng,2007).The education index method is to measure the difference among the different levels of human capital by the education level.Common approaches to using average years of education as a measure of human capital index(Hu Angang,2002;Ouyang Yao,Liu Zhiyong,2010;Zhou Junxu,Jiang Qi,2012;Cai Wu,Chen Guanghan,2013);Or use the middle school students'school enrollment rate,college enrollment rate and government financial investment to represent the human capital stock(Lai Mingyong,et al,2002);Can also be used to measure the difference of human capital by using the evaluation of the comprehensive index of education.

From the perspective of the selection of indicators,the above methods have some shortcomings in the analysis of heterogeneous human capital.The income method and cost method are methods to measure the heterogeneity of human capital,which is based on the measurement of human capital stock.The average level of education can't reflect the problem of extreme value,and the level of education is unable to reflect the difference of regional human capital in the overall number and quality.From the perspective of the heterogeneous human capital,it is mainly focused on the mechanism on the economic growth done by heterogeneous human capital.And try to use panel data regression method to fit the relevant production function,and analyze the parameters in the function.