The Impact Of Financial Aid On Human Capital Improvement

Human capital plays an important role in promoting national and regional economic development.College students are an important source of national human capital reserve,and it is of great significance to improve the human capital of college students.However,the general improvement in the standards for university expansion and tuition makes it impossible for students in the western regions which are populous and economically backward to accept higher education.In order to change this situation,the government has established various ways of economic support systems.Up to now,the rapid growth of financial aid has alleviated the problem of "poverty dropout".With the continuous increase of funding,the connotation of student financial assistance has also shifted from the protection type to the development type.In order to investigate the impact of financial aid on the human capital improvement,taking the poverty students in JiangXi province as the respondent and using the theory of production function from the perspective of human capital investment.The paper selects the financial aid as input variables and the human capital as output variables.Thenit constructs the impact model of financial aid on the human capital improvement.Based on the data collected from 3,485 questionnaires,this paper analyzes the impact of human capital from three levels: the total amount of financial aid,the type of funding and the level of funding.The conclusion is that the total amount of financial aid has a stage character for the effect of human capital improvement."Gift type" funding has a remarkable promotion effect on the human capital improvement,and the human capital level can further improved with the promotion of various scholarships and grants.The "loan-type" fund has a positive effect on the human capital contribution,but the level of the "National education-assistion loan" has a negative impact on the increase in human capital,and the negative effect can be effectively reduced when the level are at 61%~80%.The "work-study positions" has helped to improve the human capital,and when the level of funding is 61%~80%,it's the most helpful to the human capital.Finally,the author puts forward feasible countermeasures and suggestions from four aspects: government,universities,society and students.