Human capital,technological progress and the demographic transition*

We emphasize the importance to consider components of population growth — fertility and mortality ‐ separately, when modeling the mutual interaction between population and economic growth. Our model implies that two countries with the same population growth will not converge towards the same level of per capita income. The country with the lower level of birth and death rates will be better off in the long run. Introducing a spill over effect of average human capital on total productivity our model implies multiple equilibria as illustrated in Becker el al. (1990) and Strulik (1999). Besides the existence of a low and high level equilibrium ‐ as characterized by low and high levels of per capita output respectively ‐ we show the existence of multiple low level (Malthusian) equilibria. Initial conditions and parameters of technological progress and human capital investment determine whether an economy is capable to escape the low level equilibrium trap and to enjoy sustained economic growth.     

Age structure and capital dilution effects in neo-classical growth models

This paper reexamines the problem of the relationship between demographic growth and per capita income in neo-classical growth models with age-structured populations. It is suggested that, when they assume a constant rate of capital depreciation, such models overestimate the negative impact of population growth through capital dilution effects. With more realistic depreciation schedules, the ageing of the capital stock which results from lower growth implies a higher overall depreciation rate, which reduces benefits from lower capital dilution. The implications of this observation are examined for the existence of an optimum population growth rate, for models with heterogeneous capital, and for models where capital obsolescence is not fixed but is allowed to vary.This article is a modified version of a paper presented at the First Annual Meeting of the European Society for Population Economics, Rotterdam, September 1987. I am indebted to the anonymous referees for helpful comments and suggestions and to Linda Sergent for revising the English text.     

Population growth and social security financing

By allowing the population growth to be flexible, this paper analyzes the effect of a tax reform that involves an introduction of consumption taxation for social security financing. It is found that population growth and labor supply play an important role in determining the effect of the tax reform. If population growth and labor supply are exogenous, then an introduction of a consumption tax for social security financing, with the payroll tax rate being endogenous, decreases the interest rate and increases capital accumulation. However, if population growth and labor supply are endogenous, then an introduction of a consumption tax for social security financing increases the interest rate and reduces capital accumulation. Received: 26 February 2001/Accepted: 26 August 2001     

职业流动、人力资本对流动人口收入影响及其代际差异

基于2013年我国七个大城市“流动人口管理和服务对策研究”调查数据,使用OLS回归和分位数回归方法,实证分析了职业流动、人力资本对流动人口收入影响及其代际差异。结果显示：一是人力资本对流动人口收入水平有着显著正向影响。但人力资本对两代流动人口的收入影响不同,其中受教育年限、现职业工作年限对新生代流动人口收入的促进更大,在外务工年限对第一代流动人口收入的促进作用更大。二是职业流动与第二代流动人口的收入呈现显著相关性,然而并非线性的影响,而是呈现倒U型非线性模式;但职业流动对第一代流动人口收入影响不显著。文章最后结合研究得出的观点和结论,探讨了本项研究的政策启示。     

Child mortality and fertility: public vs private education

How does the effect of child mortality reductions on fertility and education vary across educational systems? To answer this question, we develop an overlapping-generations model where altruistic parents care about both the number and human capital of their surviving children. We find that, under a private education system, if income is low initially, the economy converges to a Malthusian stagnation steady state. For a high level of initial income, the economy reaches a growth path in which children’s education rises and fertility decreases with income. In the growth regime under private education, exogenous shocks that lower child mortality are detrimental for growth: fertility increases and education declines. In contrast, under a public education system, the stagnation steady state does not exist, and health improvement shocks are no longer detrimental for growth. We therefore offer a new rationale for the introduction of public education.     

Is the Demographic Dividend an Education Dividend?

The effect of changes in age structure on economic growth has been widely studied in the demography and population economics literature. The beneficial effect of changes in age structure after a decrease in fertility has become known as the “demographic dividend.” In this article, we reassess the empirical evidence on the associations among economic growth, changes in age structure, labor force participation, and educational attainment. Using a global panel of countries, we find that after the effect of human capital dynamics is controlled for, no evidence exists that changes in age structure affect labor productivity. Our results imply that improvements in educational attainment are the key to explaining productivity and income growth and that a substantial portion of the demographic dividend is an education dividend.     

中国省会城市人口密度对人才集聚的影响研究

随着城市人口规模的扩大和人口密度的提高,城市的经济集聚效应和拥挤效应日益增大。虽然新增人才与普通劳动力产生的拥挤效应相同,但人才具有更高的人力资本和劳动生产率,对城市经济长远发展和在未来城市体系中的位置具有决定性作用,吸引人才集聚成为城市竞争的新焦点。除了拥挤效应外,城市人口密度提升有利于城市内部的知识溢出和工资增长,满足人才的发展需求和预期收入需求,从而促进人才向城市集聚。考虑直辖市和省会城市是全国和区域人口集聚的中心,存在着经济集聚效应和拥挤效应,以中国2003年至2015年30个省会城市(含直辖市)为样本进行实证检验。静态和动态面板数据模型实证结果均表明城市人口密度对人才集聚具有显著的正向促进作用,这意味着当前中国主要城市的经济集聚效应大于拥挤效应,城市的人口密度并未过度稠密,进一步提高城市人口密度有利于人才向城市流动集聚。考虑人才对城市的知识溢出和工资比拥挤效应更加敏感,不同的知识溢出和工资水平条件下,城市人口密度对人才集聚存在着影响差异,门限面板数据模型实证结果显示存在三个区制,分别对应于城市发展的起飞、爬坡和成熟三个阶段,受城市经济集聚效应与拥挤效应相对动态变化的影响,城市...     

On high fertility rates in developing countries: birth limits, birth taxes, or education subsidies?

In this paper, we consider two types of population policies observed in practice: birth limits and birth taxes. We find that both achieve very similar equilibrium solutions if tax revenue finances lump-sum transfers. By reducing fertility and promoting growth, both birth policies may achieve higher welfare than conventional education subsidies financed by income taxes. A birth tax for education subsidies can achieve the first-best solution. The welfare gain of the first-best policy may be equivalent to a massive 10–50% rise in income, depending on the degree of human capital externalities and the elasticity of intertemporal substitution.      

Some macroeconomic aspects of global population aging

Across the demographic transition, declining mortality followed by declining fertility produces decades of rising support ratios as child dependency falls. These improving support ratios raise per capita consumption, other things equal, but eventually deteriorate as the population ages. Population aging and the forces leading to it can produce not only frightening declines in support ratios but also very substantial increases in productivity and per capita income by raising investment in physical and human capital. Longer life, lower fertility, and population aging all raise the demand for wealth needed to provide for old-age consumption. This leads to increased capital per worker even as aggregate saving rates fall. However, capital per worker may not rise if the increased demand for wealth is satisfied by increased familial or public pension transfers to the elderly. Thus, institutions and policies matter for the consequences of population aging. The accumulation of human capital also varies across the transition. Lower fertility and mortality are associated with higher human capital investment per child, also raising labor productivity. Together, the positive changes due to human and physical capital accumulation will likely outweigh the problems of declining support ratios. We draw on estimates and analyses from the National Transfer Accounts project to illustrate and quantify these points.     

Human Capabilities Versus Human Capital: Guaging the Value of Education in Developing Countries

The purpose of this study is to defend the view that education should be evaluated in terms of the capability to achieve valued functionings, rather than mental satisfaction or resources. In keeping with Amartya Sen’s capabilities approach we argue that mental satisfaction provides an inaccurate metric of well-being because of the phenomenon of adaptive preferences. Equally, resources cannot be used as a metric of well-being because of inequalities in the ability to convert income and commodities into valued functionings. Hence, interpreting education as a means to create human capital is also impoverished because it evaluates education solely in terms of the accumulation of resources. In order to provide evidence in support of the human capabilities approach we statistically examine the channels through which educational attainment affects the health functionings implied by life expectancy. Using panel data analysis for 35 developing countries for the years 1990, 1995 and 2000 we compare the health functionings (as indicated by life expectancy) that are achieved by the income growth generated by educational attainment, with the total health functionings that are achieved by educational attainment. We find that educational attainment (as indicated by average years of schooling) has a significant effect on life expectancy independently of its effect by way of income growth. A 1% increase in per capita income increases life expectancy by 0.073954% while a 1% increase in average years of schooling directly increases life expectancy by 0.055324%. Because it shows that income underestimates the health functionings achieved by educational attainment, our empirical findings lend support to the claim that the value of education should be measured in terms of the capability for functioning, rather than resources.     

食品安全对低收入群体人力资本投资收益的影响

健康是人力资本持续获得投资收益的基本前提和保证。由于低收入群体有更大概率选择非安全食品,所以食品安全在很大程度上就与低收入群体的健康状况相关,势必会影响这些弱势群体原本就较低的人力资本投资收益的获得,如果任由非安全食品充斥农村市场,不但会导致低收入群体健康状况的下降,而且由于低收入群体的人力资本收益受到影响,还会在长期内造成更大的收入差距。     

Predicting the Trend of Well-Being in Germany: How Much Do Comparisons, Adaptation and Sociability Matter?

Using longitudinal data from the German Socio-Economic Panel, we estimate the variation of subjective well-being experienced by Germans over the last two decades testing the role of some of the major correlates of people’s well-being. Our results suggest that the variation of Germans’ well-being between 1996 and 2007 is well predicted by changes over time of income, demographics and social capital. The increase in social capital predicts the largest positive change in subjective well-being. Income growth, also predicts a substantial change in subjective well-being, but it is compensated for about three fourths by the joint negative predictions due to income comparison and income adaptation. Finally, we find that aging of the population predicts the largest negative change in subjective well-being. This result appears to hinge on the large loss of satisfaction experienced by individuals in old age.     

人力资本对居民收入差距影响的存量效应

人力资本是决定居民获取收入的能力的主要因素之一,随着人力资本投资增加,居民个体人力资本存量积累通过扩张效应、平等化效应、缩减效应和错位效应影响居民间的收入差距,带来了人力资本对居民收入差距的存量效应,形成了人力资本存量与居民收入差距在不同经济发展阶段的倒U形曲线。实证研究表明,中国目前正处于工业化中期,处于倒U形曲线的左侧,人力资本存量对收入差距的扩张效应大于平等化效应,呈现出随着人力资本投资增加,居民收入差距扩大的态势。     

Age structure and capital dilution effects in neo-classical growth models

Economists often over estimate capital dilution effects when applying neoclassical growth models which use age structured population and depreciation of capital stock. This occurs because capital stock is improperly characterized. A standard model which assumes a constant depreciation of capital intimates that a population growth rate equal to a negative constant savings ratio is preferable to any higher growth rate. Growth rates which are lower than a negative constant savings ratio suggest an ever growing capital/labor ratio and an ever growing standard of living, even if people do not save. This is suggested because the natural reduction of the capital stock through depreciation is slower than the population decrease which is simply unrealistic. This model overlooks the fact that low or negative growth rates result in an ageing of the capital stock, and this ageing subsequently results in an increase of the overall rate of capital depreciation. In that overly simplistic model, depreciation was assumed independent of the age of the captial stock. Incorporating depreciation as a variable into a model allows a more symmetric treatment of capital. Using models with heterogenous capital, this article explores what occurs when more than 1 kind of capital good is involved in production and when these various captial goods have different lengths of life. Applying economic models, it also examines what occurs when the length of life of capital may vary. These variations correct the negative impact that population growth can have on per capital production and consumption.     

中国人口迁移流动的人力资本替代效应及影响分析

人口迁移流动是改变人口数量和人力资本空间分布格局的重要因素,人口迁移流动造成的人口数量和人力资本空间分布变化是否一致及其对区域经济社会发展的影响是一个需要更加深入研究的问题。本文针对我国人口流动过程中形成的人口素质结构转变进行理论思考和实证研究,探讨其形成的经济原因和造成的经济影响。相关数据显示我国高等教育群体和中等教育及以下群体长期以来一直处于净流向相同的状态,而2013-2015年以来各省陆续出现净流向相反的现象,形成了人口数量和人口素质的替代效应。高等教育人才的净流入地区是经济发达省份、地理条件优越省份以及少数民族自治区,北京、天津、上海、浙江、江苏以及广东省等三大都市圈内的六个省市的高等教育净流入人才占跨省高等教育净流入总人口的绝大多数。人口替代对当地的经济影响表现为三点:第一,改变当地劳动力资源禀赋结构,使高等教育群体及中等教育群体人数的比较优势发生变化;第二,改变地区平均受教育年限,影响地区科技创新能力;第三,拉大地区劳动力收入差距。据此提出两点政策建议:首先,地方省市可以通过市场化的产业结构调整手段控制相应的流动人口群体规模,而不必依靠限制人口流动的政策以及硬性提出人口调控目标来管理流动人口规模。其次,地方政府要做好地区经济规划以及定位,充分认识现在的人口替代对于未来地区创新能力以及劳动力收入差距的影响。     

Education funding and regional convergence

The aim of this paper is to discuss the process of regional convergence within the framework of an overlapping generations model in which the engine of growth is the accumulation of human capital. In particular, we consider different education funding systems and compare their performance in terms of growth rates and pace of convergence between two heterogeneous regions. The analysis suggests that the choice of a particular education system incorporates a possible trade-off between long run growth rate and short run convergence. In such choice, the initial capital stock and the extent of regional human capital discrepancy appear as central variables. Received: 27 January 1999/Accepted: 16 April 1999     

Some fundamental problems concerning the relationship between population growth and economic development]

The population growth rate is closely related to the quality of economic life, available funds for individual and social consumption, national income to be used for reproduction, and the labor employment situation. Since liberation, socialism has not been able to show its superiority, mainly because of China's large population figure, low economic productivity, low national income, and poor management in the relationship between consumption and accumulation. In order to solve these problems, we need to adequately control the pace of the population growth and match the rate of population growth with the pace of economic development. A way to increase national income is through saving and avoiding unnecessary waste. Social expenditures on education, culture, science, health and medical care, social welfare, and investment in the promotion of people's wisdom should all be increased. Meanwhile, the living standard of the people needs to be raised, and capital accumulation should also be managed so that funds will be available for industrial and economic enterprises. Existing inefficient production enterprises should be properly reorganized so that full employment may be achieved. In this way, the national economy will have more prosperity, and the people will benefit more from the Socialist policy.     

Economic development and labor force participation of older persons

The effect of economic development on labor force participation rates of older men and women is examined using national data for 134 countries. The analysis provides new insights into the evolution of retirement patterns with rising personal income, slowing population growth, the aging of the population, and shifts in the composition of employment. The analysis indicates a negative relationship between per capita income and labor force participation rates. This relationship is stronger for older men than for older women and is most apparent among middle income countries. An older population is associated with lower participation rates for older men and higher widow rates produce higher participation rates among older women. Industrial changes such as a decline in the proportion of the labor force employed in agriculture lower the proportion of older persons in the labor force. Finally, national social security policies are shown to impact the proportion of older persons that remains in the labor force.     

Trade, population growth, and the environment in developing countries

We examine pollution in a developing country where fertility is endogenous and wealth increases welfare through status. When the country has defective environmental laws, it has a comparative advantage in capital-intensive “dirty” goods. Gains from trade due to trade liberalization then increase income and boost population growth. With strong incentives to save, they also stimulate investment, which hampers population growth. Because population growth crowds out labor supply, production of capital-intensive dirty goods first increases and then decreases. This yields a typical environmental Kuznets path: pollution increases at the earlier stages but decreases at the later stages of development.