Empirical analysis on the relationship between human capital investment and economic growth in rural areas: Based on the data of Henan

Shi Mei-ling

Abstract

Human capital formation plays a strikingrole in economic development. Basedon the data of human capital investment, materialcapital investment of Henan Rural areas from 1995 to 2012 ,the articleanalyses the relationship between human investment and economic growth using classical production function.The conclusionis the human investmentplays more importance role to gross economic growth than the material capital investment, and also the contribution because of lower level of investment of human capital investment and the economic growth steered by material increasing .So, onthe basis of results, itputs forward the advice on policy.