An Empirical Analysis On The Impact Of Education Investment On Economic Growth In China

How to define the influence factors of economic growth is an important content in the study of economic growth. From the perspective of the economic growth situation of different countries and regions, the influence factors of economic growth in addition to the number of labor and physical capital, there is a more important factor, that is human capital. Since the reform and opening up, China’s economic growth has made remarkable achievements, but the reason is that these achievements mainly comes from the excessive material capital investment, ignore the quality of human itself, the human capital investment. At present, our country is in a process which transform the extensive economic growth mode to the intensive economic growth mode, the investment of human capital occupies a very important position. The direction of the future economic development in our country will turn to how to improve the level of human capital investment and promote the human capital makes more contribution to economic growth, promote our country’s economy develop in a healthy way.This article will study our country’s education investment how to influence the economic growth through an empirical analysis, on the basis of clear up the relevant documents and identified the train of thought in this paper, analyze the mechanism of the education investment to economic growth, and the present situation of the education investment and economic growth in our country. Based on the above research train of thought, first we clear up the related literature of education investment. secondly, analysis the mechanism of the education investment to economic growth, from the education level of population education in our country, the construction of education institutions in our country, the different number of teacher in different level of education institutions, the different graduates numbers in different level of education institutions these aspects to study the education investment from 2004-2013 in our country, from gross domestic product, per capita gross domestic product, the first industrial output, the secondary industry output and the tertiary industry output these indicators to research the status of China’s economic growth.Thirdly, build the relevant theoretical model, divided the education investment into the basic education investment and the advanced education investment, and put the two levels of education investment into the model. Fourth, according the theoretical model establish an econometric model,and put the 1999-2013 panel data into to the measurement model for empirical analysis, and then give the corresponding conclusions and policy suggestions.