Rural Human Capital And Economic Growth Contribution Rate Of Empirical Analysis Of Shandong Province

With the development of economic, it is a urgent problem that we should reasonably allocate available resources so as to realize further economic development. Among the factors of affecting economic growth, related theories has confirmed that physical and human capital play an important role which should not be overlooked. Faced with the lack of physical capital, it is the best choice that using human capital. As we all know, human capital is of vital both countries and regions, and it is an important resource for economic development. From the 1960s, western economic scholars began to introduce the theory of human capital when they discussed discuss issues on economic growth, and then gradually established the relevant production function model including human capital factors. Facing classical economics was hard to explain the "mystery of the economy", modern human capital theory was born. which brought evolutionary change of capital theory and income distribution theory. To measure human capital choices are more diversified and more scientific. From the perspective of rural human capital to study its effect on rural economic growth not only enrich the study of rural human capital and rural economic growth, but also more clearly understand the rural human capital in the rural economic growth. It is beneficial to help government reasonably allocate available resources such as distributed between physical capital and human capital.Shandong Province, as an important agricultural and educational province, has huge advantages in human resources and education resources. However, on the part of rural human capital, it still lags behind, and directly influence rural economic development. Firstly, this paper describes the current domestic and international research and rural human capital theories of human capital so as to guide this paper; Secondly, this paper attempts to conduct a more detailed discussion about human resources as the main line of human-related economic growth theory in order to build a theoretical basis for the proposed model. And finally, by selecting data between 1990 and 2012 of Shandong province, and using the perpetual inventory method and years of education method to calculate physical capital stock and human capital stock of in rural areas respectively, which is aimed to empirically analyze the impact of rural human capital on economic growth. At the same time, I will try to account of rural human capital contribution rate to economic growth. The results show that physical capital investment contribution rate is significantly higher than the investment in human capital to economic growth. There is no doubts that rural human capital will contribute to economic growth, but compared with physical capital, the variable we study, human capital growth is relatively slow in rural areas, and rural economic growth largely depends on the rapid growth of investment in physical capital. Human capital, which is to promote rural economic growth has no significant effect. Meanwhile, under the current circumstances and rural human capital development in the province, this paper seeks to enhance the effective ways to improve rural human capital in quantity and quality.