Study On The Effect Of Heterogeneous Human Capital On Regional Economic Development

Since China carried out reform and open policy, the economy has been steady speed developed and the living standards of people have been improved. Except the increasing physical capital investment, the effect of heterogeneous human capital on local economic development was the important topic of economics research all the time. Some researchers thought that the human capital could grow the local economy. However, there were differences not only among different genders, ages, physical powers and intelligence, but also among the difference education degree, labor skills and values. The differences required different researches. The paper divided the human capital into different levels from the perspective of heterogeneous human capital to analyze the effect of human capital on economic growth and economic structure. Then, the paper built the related model to verify their internal relations so that could expand space of researches, which could offer some proposals for government making policies.Theoretical analysis was the basis of this article, Firstly there was an overview of the heterogeneous human capital in this article, then measured it according to their levels of education, then analyzed the influence on economic development of high degree and primary degree human capital. On this basis, this paper set up two empirical models, and discussed the effect of total amount of heterogeneous human capital and the human capital of each level, then analyzed the causes of the different roles in different regions of heterogeneous human capital.The result showed:The effects of heterogeneous human capital on regional economic growth and regional economic structure were different. First of all, higher levels of human capital usually act on economic growth applied through technological innovation or technological mimicry, primary education level of human capital tended to promote regional economic growth through action on the final output. Secondly, In terms of eastern region, higher levels of human capital could significantly promote the optimization of regional economic structure but primary education level human capital’s effect was not obvious. On the other hand, the effect of higher levels of human capital to economic structure optimization in the central and western regions was negative but primary education level human capital’s action was positive.