A Study On Human Capital Contribution In The Process Of Economic Growth Of Lanzhou City

Economic growth is the eternal topic of the economics profession, human capital with the marginal nature of increasing returns, therefore, the introduction of human capital can explain the continuous improvement of per capita income and long-term economic growth, the theory that economic growth is the economic system of internal variables to run a result, economists have also made greater satisfaction. Because the adjustment of human capital, the need for greater adjustment costs, as well as a longer adjustment time, whether a single sector or two sectors of economic growth models are described in physical capital, human capital than in the maintenance of long-term stable economic growth is even more important role. Human capital has the nature of learning by doing, the initial advantage will continue to expand, thereby expanding the regional economic disparities. In this paper, the stock of human capital of Lanzhou, physical capital stock, as well as the production function is estimated, based on the measurement process of economic growth in Lanzhou City, the contribution of human capital, calculated from 1996 to 2007 the average annual contribution rate of human capital, is 18.96%, compared with 59.36%of the contribution of physical capital is too low. From both physical capital and human capital stock of comparison found in Lanzhou City, the existence of human capital formation in the lack of government investment as well as a large number of brain drain phenomenon, this paper combined with statistical data from the theoretical to give an explanation and put forward some reasonable policy recommendations.