The Impact Of Regional Human Capital Investment On Income Gap

Since the reform and opening up,my country's residents' income gap has been more prominent,especially among regions,the income gap between residents has been increasing.In recent years,the combination of human capital theory and income disparity has achieved fruitful results.Among the various components of human capital investment,education investment,medical investment,and population migration investment have the most significant impact on the income gap.Based on previous studies,this paper puts the main components of human capital investment into the same model to study and analyze the impact of human capital investment on regional income gaps.Based on China's eight regional division methods,combined with the relevant statistical data of China from 2005 to 2018,the article first analyzed the differences in the stock and investment of education investment,medical investment and population migration investment of residents in various regions of China.The human capital stock and investment level of residents in our country have been greatly improved,but the gap between various regions has not been significantly reduced.The situation is still relatively rich in the eastern region and relatively lacking in the western region.In addition,the per capita income level of residents in my country is also steadily increasing.The income gap of residents can be found through the calculation of the Theil Index.The income gap of our residents mainly comes from regions,and the contribution of income gap between regions is still increasing.In the empirical test part,the article builds a panel data model with regional residents' income gap as the dependent variable,and regional residents' education investment expenditure,residents' medical and health investment expenditure,and residents' migration investment expenditure as the main independent variables.Logarithmic dispersion method.In addition,because the impact of human capital investment on income is lagging,a panel data model with a lag period is set as a comparison.After empirical testing of the panel data,the results show that human capital investment has a significant lag,of which,residents' education investment and migration investment have a greater impact on the income gap between residents,and medical investment has a greater impact on the income gap between residents.Small;education investment and medical investment will narrow the income gap between residents in the region,and migration investment will widen the income gap between residents in the region.Finally,according to theconclusions,suggestions are made to continue to invest in education and medical human capital,and to reasonably guide population migration,which will help narrow the income gap between residents in different regions.