R&D, Human Capital And Business Growth

This paper is researching the correlation between growth rates of listed IT enterprises in China and the attributes such as Human capital and R&D investment. The object of the paper is to facilitate the long term growth of the IT enterprises. Firstly, based on the labor economics, human capital theory and the previous research results, the paper extracted the data from R&D investment figures, human capital input figures and other relevant financial figure from the listed IT enterprises in China from 2005 to 2008. Then, the multiple linear regression models are used to demonstrate the correlation of the growth and R&D investment and human capital stock. Afterwards, the results of models are used to prove previous results and several new concepts are obtained from the modeling process. Finally, the paper gives several policies to help listed IT enterprises in China make the sustainable base on the results of the test.