How is the human capital market equilibrium achieved?

Wages equals marginal gains.

As one of the key elements of economic development, human capital has a very important impact on the coordinated development of regions. This paper first analyzes the role of human capital in the coordinated development of the region in a general sense, then analyzes the impact of the stock of human capital on the coordinated development of the regional economy in the eastern, central and western regions of China, and finally puts forward policy suggestions for the development and rational allocation of human capital to promote the coordinated development of the regional economy.

Human capital, also known as human resources, is the sum of knowledge, skills, and physical (health) values, and is formed by investing in health, education, etc. In early theories of economic development, physical capital was seen as a key factor in economic development. However, since the 60s of the 20th century, more and more economists have gradually realized the important role of human capital in economic development, and some economists even regard it as a decisive factor in economic development.

As one of the key elements of economic development, human capital has a very important impact on the narrowing of the gap between backward and developed regions, the development of regional comparative advantages, the formation of a reasonable regional division of labor, and the realization of sustainable development. This paper first analyzes the role of human capital in the coordinated development of the region in a general sense, then analyzes the impact of the stock of human capital on the coordinated development of the regional economy in the eastern, central and western regions of China, and finally puts forward policy suggestions for the development and rational allocation of human capital to promote the coordinated development of the regional economy.

1. The impact of human capital on the coordinated development of regional economy.

1) Human capital affects the rate of economic growth, and thus affects the narrowing of the gap between backward and developed regions.

According to the neoclassical growth model, economic growth depends on the growth of capital and labor factor inputs, and the economic growth rate of countries or regions with low income levels will be higher than the economic growth rate of countries or regions with high income levels, and over time, the per capita income gap between countries or regions will no longer exist. This is because the above neoclassical growth theory is based on the assumption of diminishing returns on capital. Countries with less capital per worker have a relatively higher rate of return on capital and therefore a higher rate of economic growth.

However, this is not the case. In the post-war decades, what was seen was a widening gap in per capita income between countries. 1985 In 1995, per capita income in developing countries increased at an average annual rate, while in developed countries grew at an average annual rate during the same period.

Human capital is a Western economic concept, also known as "immaterial capital", as opposed to "physical capital", which is the capital embodied in workers. For example, the knowledge and skills, cultural and technical level and health status of workers. Its main feature is that it is associated with personal freedom and does not transfer with the sale of the product.

Formed through investment in manpower.

These include: (1) expenditures on education; (2) spending on health care; (3) expenditures on the internal mobility of labour; (4) Expenditures for immigration entry.

The most important of these is education expenditure, which forms educational capital. Through education, the quality of the labor force, the working ability and technical level of the workers can be improved, and labor productivity can be improved. Its growth, especially in education spending, is one of the sources of economic growth.

Expansion: Human capital versus other capital.

Human capital has greater value-added space than hard capital such as material and currency, especially in today's post-industrial period and the early stage of the knowledge economy, human capital will have greater value-added potential. Because human capital, as "living capital", is innovative and creative, and has the ability to effectively allocate resources and adjust enterprise development strategies. Investing in human capital contributes more to GDP growth.

Section 2: Basic Content of Human Capital Theory.

Human capital theory is a theory that rose rapidly in the field of Western economics in the 60s of the 20th century. The basic characteristics of human capital, the formation process and the costs and benefits of human capital investment. Theodore Schultz, an American economist, is a representative of human capital theory.

In addition to Schultz, other Western bourgeois economists who made important contributions to the formation and development of the theory of "human capital" were Denison, Becker, Engelmann, Baumann, and Bisson.

1. The concept of human capital and its implications.

The theory of "human capital" holds that in the traditional economic theory, capital only refers to the quantity and quality of various material production factors such as plants, machinery and equipment, raw materials and fuels in the production process, which is incomplete. The complete concept of capital should include both physical and human capital. Physical capital is the capital embodied in material products or means of production, while human capital is the capital embodied in people, mainly laborers.

Human capital is an integral part of national wealth. Like physical capital, human capital is quantitatively and qualitatively regulated. From a quantitative point of view, the number of labor force in a society can indicate the scale of human capital in that society to a certain extent.

From a qualitative point of view, the qualities of each worker, i.e., knowledge, intelligence, skills, experience and health status, are different.

Regarding the connotation of human capital, Becker believes that human capital means not only talent, knowledge and skills, but also time, health and longevity. Becker believes that human capital is first and foremost a kind of personified capital, which is manifested in human ability and quality, and is inseparable from the human being. Therefore, the nature and type of work will affect the use of human capital, which also means that human capital is private in nature, and how it is used depends on the individual.

The traditional economic theory that economic growth must depend on the increase of physical capital and labor is no longer in line with today's facts, and for the modern economy, the improvement of human capital such as human knowledge, ability, and health is far more important to economic growth than the increase in the number of physical capital and labor force.

1.The connotation of human capital.

There is no unified definition of what human capital is, but there are two more generally accepted definitions. The first is the definition given in the dictionary: "The so-called human capital refers to the sum of the stock of various production knowledge and skills contained in human beings."

The second is the popular textbook definition: "Human capital represents the investment of time and money in the form of education and training to improve the quality of workers." "Although there are many definitions of human capital, one thing they all have in common is that they all focus on the quality of human resources or the quality of workers.

Schultz's definition of human capital is: the ability of people to act as producers and consumers. Most scholars accept Schultz's definition of human capital, which is the knowledge, ability, and health embodied in people.

Entry: Human capitalHuman capital refers to the capital formed by spending investments in human health, education, training, etc. Human capital is obtained through indirect market pricing through the mechanism of determining wages and salaries in the labor market, and is obtained through acquired schooling, family education, vocational training, health care, labor migration, and labor employment information collection and diffusion, which can improve the sum of skills, knowledge, health, ethics and organizational management of investment recipients.

Human capital is formed by the consumption of a certain amount of scarce resources, and this investment is made to increase future earnings. [View Entry].

In the 60s of the 20th century, the human capital theory founded by the American economists Schultz and Becker opened up a new way of thinking about the analysis of human productivity. Human capital theory mainly includes: (1) human resources are the most important resources among all resources, and human capital theory is the core issue of economics. (2) In economic growth, the role of human capital is greater than that of physical capital.

Investment in human capital is directly proportional to national income and is growing faster than material resources. (3) The core of human capital is to improve people.

Investing in education is a major part of investing in people. The reproduction of human capital should not be seen as a mere consumption, but as an investment, the economic benefits of which are far greater than those of material investment. Education is the most basic and major means of improving human capital, so human investment can also be regarded as an investment in education.

Obviously, human resources, one of the three elements of productivity, can be further broken down into human resources with different levels of technical knowledge. The output of highly skilled workers is significantly higher than that of low-skilled workers. (4) Education investment should be based on market supply and demand, and the fluctuation of manpower should be used as a measurement symbol.

The human capital theory breaks through the shackles of capital as only physical capital in the traditional theory, and divides capital into human capital and physical capital. This makes it possible to study economic theory and practice from a completely new perspective. The theory believes that physical capital refers to the capital on existing material products, including plants, machinery, equipment, raw materials, land, money and other valuable goods, etc., while human capital is the capital embodied in human beings, that is, the condensation of the value of the producer's general education, vocational training and other expenditures and the opportunity cost of receiving education in the producer, which is manifested in the sum of the stock of various production knowledge, labor and management skills and health qualities contained in the human body.

According to this viewpoint, in the process of economic activities, human beings on the one hand continue to put a large amount of resources into production and manufacture all kinds of commodities that meet the market demand; On the other hand, it is necessary to develop and improve people's intellectual, physical, and moral qualities in various forms, with a view to forming a higher production capacity. This argument equates the mechanism of the formation of human productive capacity with physical capital, and advocates that human power is regarded as a kind of capital embedded in human beings - the sum total of various stocks of productive knowledge and skills.

Human capital: non-physical capital.

Answer]: b, c, d

This question examines the economic theoretical basis of human resources and resources. Human capital actually emphasizes the importance of human intelligence, education and training, and work experience, because these characteristics can bring economic value to society and organizations.