HUMAN CAPITAL ACCUMULATION AND LONG RUN GROWTH: ASSESSMENT FOR ARGENTINA THORUGH AN AUGMENTED SOLOW MODEL

PERUGIA

Workshop; 14 Workshop on Public Finance; 2012

BANCA D´ITALIA

The main contribution of the paper is to further the empirical treatment of the ?augmented Solow Swan Model? on the following two accounts: a) to investigate the possibility of using alternative proxies for the rate of human capital accumulation others than secundary school enrolment and including also higher education, and b) to improve the methodology suggested for the measurement of the stock of human capital in order that this variable can be used in the log equation in place of the rate of human capital accumulation. Furthermore, and given the widespread admission of valuable policy implications emerging from including human capital the augmented SSM is in this case tested for the Argentine economy, by evaluating the econometric performance of regression coefficients on alternatively computed variables for human capital.