The Evolution Of The Human Capital Theory

Human capital theories system was put forward in the 50's of 20 centuries, but the thought can trace back to the classic economics period. Adam smith,thought to be the first man putting much importance on human capital, expounded the economic meanings of human capital and education. Marshall also paid more attention to human capital, he putted it clearly that the most valuable capital is human capital. Though the human capital attracted attention of the some economist long before, the orthodox economics did not accepted it as a integrated part, until Theodore Schultz found out that human capital was a very important factor of increase of economy. The capital he thought should include human capital and material capital, knowledge, technical ability, physical strength, health, Etc are also a kind of capital.The efficient human capital property rights system requires the establishment of human having fully property rights and establishment of property rights structure. The evolution of human capital property rights system revealed the unification of arranging of property rights system and the efficiency. Detaching human capital property rights from its owner and other kinds of losing human capital property rights, namely, deformity of human capital property rights would lessen enthusiasm and go-aheadism of the owners of human capital, or even close the human capital , making the value of the capital useless.The institutional innovations in spite of in country aspect or enterprise aspect are also the mighty driving to the development of country along with technology innovations.