Study Of China's Eastern And Western Regions Of Human Capital Differences

China's regional development is very unbalanced. Between the eastern and middle-western regions, there is a big gap in economic development in which the disparity of regional human capital plays an important role and the western region is more undeveloped. In era of knowledge economy, the idea that human capital is the true source of economic growth has become the consensus of the governments and the academics in most countries and the status of human capital is becoming increasingly prominent. Meanwhile, human capital is also considered to be one of the most important factors for regional development. Areas with high level of human capital always have high level of economic development while areas with higher level of economic development always have greater advantage not only in human capital investment but also in nurturing and attracting talents. Accordingly, in areas with high level of economic development, human capital and economic development would form a positive interaction, which does not exist in areas with low level of economic development that would otherwise lead to outflow of human capital. Thus, the greater the gap of human capital between different regions is, the less conducive the coordinated development of regional economy is. In order to promote regional economic development and to narrow the gap between China's regional economies, we should try to narrow the human capital gap between the eastern and western regions. This study is based on the ideas and perspectives of thinking on the issues mentioned above.Taking coordinating regional economic development and building a socialist harmonious society as its goal and end-result, the essay' argument and analysis are both based on the fact that there is a wide human capital gap between China's eastern and western regions. Above of all, I have reviewed related researches on human capital coming from home and abroad. Then I have described the differences of human capital between eastern and western regions from three aspects:human capital stock, structure, and inequality and found that both human capital stock level and structure of the eastern regions are better than that of the western regions. Next, from the point of human capital investment and migration, I have not only qualitatively analyzed the reasons of the formation of the human capital gap between the eastern and western regions but also conducted an empirical test. Finally, according to the results of the analysis, I have raised some policy recommendations on improving the human capital level of the western regions from the point of urbanization, allocation of resources, fiscal policy, human capital flow and regional cooperation.This study resulted in the following three outcomes:Firstly, despite relevant data of regional human capital is difficult to obtain, this essay has creatively and comprehensively analyzed the differences of human capital between eastern and western regions by using demographic data grouped by level of education. The approach to use the level of education to study the structure of human capital is not only strongly operational, but also groundbreaking in the research areas of human capital structure.Secondly, this essay has not only qualitatively analyzed the reasons of the formation of the human capital gap between the eastern and western regions but also creatively conducted an empirical test by relevant data, which has made up for the deficiencies of previous studies that focused only on theoretical analysis while neglecting empirical test.Thirdly, during the study, I unexpectedly found that the western region's public education resources are inefficient because of vast area with few people and inconvenient traffic. So, it is difficult to effectively reduce regional disparities in human capital if only to increase national financial education spending preferences. However, it may be more effective if another measure to accelerate the process of urbanization of the western regions is simultaneously to be used.