The Economic Growth On The Impact Of The Human Capital Composition In Western Region

Since the1990s, our country adjusted the economic strategy of development to narrow the gap between the eastern region and western region, increasing the investment in west China and introducing the related policies and measures. After the implementation of western development strategy, large scale investment was devoted in western infrastructure construction、basic education and ecological environment, however, compared with material capital, the shortage of human capital is still the bottleneck which restrict the development of west China. This paper analyzed the differences on the quantity, quality and structure of human capital between west China and east China, It concluding that human capital is on a low level. Then, using the different level of students in school as the core variables of the regression to build the metrological model which can reflect the different human capital has the different function on economic growth between these two regions. The empirical result shows that, the function of intermediate human capital to economic growth is notable whereas the primary human capital is insignificant. In west China, economic growth is driven by intermediate human capital. Comparing with western region, economic growth is driven by senior human capital in eastern China, which means western region can use the gap of development to imitate and absorb the technology of eastern region and to achieve the economic growth. The result means to raise the proportion of intermediate human capital, increasing the rate of intermediate human capital in the human capital composition to optimizing the structure of the human capital in western region, promoting the industry upgrading and boosting the economic growth.