ECON 1901 Lecture Notes - Human Capital
16 Mar 2014
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Document Summary
Statistically true: gdp is positively correlated w/ life expectancy, positively correlated w/years of schooling, gdp as a measure of the ability to obtain goods and services. A measure of my ability to get stuff. Many hypotheses: climate --> historically inconsistent, geography --> historically inconsistent, corruption --> dis da good hypothesis. Key facts: everyone used to be very poor, some countries have experienced tremendous growth while others have not. Even small, steady growth can have tremendous impact on an economy"s size (ex: However, should talk about the causes/sources of econ growth From the data: countries with high gdp per capita have more capital per worker and more human. Factors of production: any input used to make output. Factors of prod: capital- machines, buildings, equipment, labor, human capital-knowledge and skills workers acquire through education, training, and capital experience. Build upon each other: technical knowledge/ technology: any method of turning inputs into outputs, improvement can be made to technology.
