Research On The Impact Of Human Capital Investment On The Income Level Of Residents In Shandong Province

The level of national economic development should not only look at the total size,but also pay attention to the overall balanced development.Over the past 40 years of reform and opening up,although China’s overall economic strength has been greatly improved,and its GDP is now the second largest in the world,there is still a big gap in the income level of residents in different provinces and regions,which is still far from the requirement of realizing common prosperity in the new era.As a large economic province in China,Shandong province also has an obvious gap in residents’ income level between different regions,and the difference in human capital investment level is one of the key factors producing this gap.Under the guidance of the concept of common prosperity,how to promote the coordinated development of regional economy through the scientific and efficient investment of human capital in Shandong province,and continuously improve the income level of residents,is an urgent problem to be discussed in the realization of high-quality economic development.This thesis through the relation between the two,improve residents’ income levels,and between different areas in shandong province based on the actual situation,try to divided into eastern,central and western regions of shandong province for research on the effects of human capital investment of residents’ income,found in the human capital investment between different regions on residents income level,the influence mechanism and laws.Based on the panel data of 16 cities in eastern and western Shandong province from2006 to 2020,this thesis studies the impact of human capital investment on residents’ income in each region.Firstly,this thesis introduces the background,significance,content and methods of this research,as well as the innovation and deficiency,and combs the literature on human capital investment,resident income and their relationship at home and abroad,and on this basis,sorts out the theories on human capital investment and resident income.Secondly,starting from the investment dimensions of education,health,scientific research,migration and so on,this thesis analyzes the impact mechanism of human capital investment on residents’ income by constructing the extended Solow model.Thirdly,the differences of human capital investment and resident income level among regions are investigated,especially the current situation of investment in education,health care,scientific research and labor migration are analyzed.Finally,based on human capital investment in such aspects as education,health,scientific research and the migration of the related data by using principal component analysis to measure human capital investment comprehensive level,using fixed effect model test in shandong province of human capital investment of residents’ income level directly influence and indirect influence of industrial structure as a intervening variable,Furthermore,the thesis further discusses the specific impact of human capital investment on residents’ income level in the three regions of east,central and west,and puts forward corresponding countermeasures for improving residents’ income from multiple perspectives of human capital investment.Through the analysis of the specific,the following main conclusions: first,through theoretical analysis,that can improve the level of education,improve the physical quality,strengthen innovation ability and promote labor mobility directly improve the residents’ income level,can also through technical effect,element function and promote the upgrading of industrial structure,the efficiency of the indirect increase residents income level;Secondly,through the analysis of the current situation of human capital investment and residents’ income level in Shandong Province,it is found that both human capital investment and residents’ income level are on the rise as a whole.However,from a local comparison,the human capital investment level and resident income level in the eastern region are significantly higher than those in the central and western regions,and the gap between regions is gradually widening,which is not conducive to the realization of common prosperity in the new era.Thirdly,empirical analysis shows that human capital investment has a significant positive effect on residents’ income,and industrial structure has a mediating effect in the process of human capital investment promoting residents’ income increase.It is further found that there are regional differences in income increase effect.Human capital investment in eastern,central and western regions has a significant positive impact on residents’ income,especially in the western region,while urbanization level,economic openness and government fixed asset investment have different impacts on residents’ income.Among them,improving the level of urbanization and increasing economic openness have a positive effect on the income of residents in the Middle East region.For the western region,urbanization has a negative effect,while economic openness has no obvious effect on it,while increasing government fixed asset investment only has a significant positive effect on the eastern and western regions.Based on the above research results,corresponding policy suggestions are put forward.In accordance with the principle of respecting high-quality development,we should pay attention to the rational allocation of resources among regions,so as to achieve coordinated development among regions and promote social equity.Therefore,this thesis proposes to increase educational investment and optimize educational model to lay a solid foundation for human capital formation.Improve the medical service system and balance the allocation of medical resources among different regions;To stimulate regional capacity for independent innovation and promote high-quality development in the central and western regions;Improve the talent flow mechanism,give full play to the value-added effect of human capital and other ways to comprehensively improve the level of human capital,so as to promote the fairness of inter-regional residents’ income and further on the road of common prosperity.