The Promoting Effect Of Health Capital On Economic Growth

Health human capital is another form of human capital, which is different fromthe education human capital. it not only reflects one of the basic potential value ofhuman life, but also makes important contributions to the economic development ofall countries. Historical facts have proven that health human capital, to some extent,promoted the growth of national economy. Health development can reflect a country’sdegree of attention and support to the health, so it can be treated as a measure ofhealth investment. Health human capital theory develops with the rise of humancapital theory and increasingly becomes an important part of human capital whichplays a promoting role in economic growth, more and more scholars begin to payattention to it. As the role of health in broadening the employment channels,expanding domestic demand and promoting economic and social developmentbecome more and more prominent, the international community gives high attentionand support to the development of health service.Therefore, quantitative research onthe relationship between health capital and economic growth has important economicand social value. In order to prove the importance of health capital in promotingeconomic growth theoretically and empirically, this paper adopted the modified Barrotheory model of two departments, and then used the time series model to test therelation between health capital investment and economic growth in China. Theanalysis shows that health capital investment has a positive effect on economicgrowth,1unit health investment can increase0.385units the gross national product(GNP), and they are highly correlated both in theory and statistics. According to theanalysis, we put forward policy recommendations as: developing economy; improvingthe comprehensive strength; Exerting the leading role of government and encouragingpeople to actively participate; Balancing the structure of health investment andnarrowing the regional differences of health investment.