Developmental Research Of Human Capital

The theory of human capital is an important breakthrough in economic theory, which combines some characters of human with some characters of capital in theory. At the same time, human capital focuses that human capital as a capital has no feature of deceasing marginal earnings because of human being's increasingly accumulative creativity, which leads to its theoretical breakthrough. Moreover, the study of human capital is also a crucial realitical issue. It is a significant resource that can achieve rapid economic growth and can break through the limitation of other economic growth factors, can attain sustained steady economic growth by the way of improving quality of relative factors. As the result of that, human capital is a key for developing countries to keep up with the economic developmental level of developed countries. We should perfect income allocation system and encourage human capital investment. However the conception of human capital has practically and theoretically been denied in a long time, which resulted in neglecting human capital investment in a long time. These cause the poor condition of human capital investment that is a big obstacle to rapid economic growth .To china, the condition natural resource shortage and little capital are apparent and unchanged to some degree. So we should pay much attention to accumulation and use of human capital, which is crucial to the current and future development. Accordingly, how to develop ?accumulate and effectively use human capital is not only an important theoretical issue but also an important practical issue. My paper tries to study the existing problems in the development and use of human capital by the practical and theoretical analysis of human capital's effect on economic growth, and put forward reasonable ways and measures to related problems.My paper is divided six parts. First: introduction. Second: basic theory of human capital. Third: effect of human capital on economic growth. Fourth: current condition of human capital development. Fifth: measures to develop human capital further. Sixth: conclusion and tendency.