Research On The Impact Of Technology Progress On The Formation Of Human Capital

Technological progress and human capital formation are the focus of attention problems in the academia. The development of human capital theory and endogenous growth theory make the change of the cognition of the source of economic growth, which from capital and labor by the neo-classical elements up to the elements of technology and human capital. As a result, the dominant factor of affect developing countries to the “convergence” of growth in developed countries, also from“the physical capital gap “rose to the” human capital gap “and” technological progress gap”. Under open conditions, China’s technological progress will play an role that induce the increase in human capital investment and speed up the human capital formation. However, based on the economic development of the“dual structure”, technological progress has played a role in the rapid formation of induced human capital, but on the other hand, the application of human capital biased technological progress, resulting in a widening income gap, a part of the low-income people will lose the opportunity of investment in human capital and human capital accumulation, can not achieve effective human capital formation.The paper first reviews the existing research of technological progress and human capital formation. On this basis, the paper draws the conclusion that technological progress is an important incentive for human capital formation by model analysis, and proposes the suitable issues of the formation of human capital and technological advances. Then combined with China’s actual situation, the paper empirical test the the inducement role of technological progress on human capital formation by the use of our decades of inter-provincial panel data. The results show that:(1) The greater R&D funding the longer the average years of schooling, and vice versa, verifing the induced role of technological progress on human capital formation.(2)The greater Public investment in education the longer the average years of education, and vice versa.(3) To join the R&D funds invested with public education investment in the product option, the promoting effect of public education inputs in human capital formation significantly reduced, while the product of the R&D funding for investment in public education put into the entry of human capital formation significantly affected. In order to promote human capital formation, technological progress complement and public investment in education should match up with each other. Finally, based on the theoretical and empirical research, this paper put forward the following policy recommendations:First, choose a reasonable path of technological progress; second, focusing on the introduction of technology absorption and R&D capabilities; third, to increase the educational investment and to adjust the structure of the educational investment.