Human Capital in a Global and Knowledge-Based Economy

Citation

(2003), "Human Capital in a Global and Knowledge-Based Economy", Education + Training, Vol. 45 No. 8/9. https://doi.org/10.1108/et.2003.00445hae.003

Human Capital in a Global and Knowledge-Based Economy

Human Capital in a Global and Knowledge-Based Economy

Angel de la Fuente and Antonio CicconeEuropean Commission Directorate-General for Employment and Social Affairs, Office for Official Publications of the European Communities2003

Examines the rationale for putting investment in human resources at the forefront of policies aimed at promoting economic growth and social cohesion. Reviews the relevant academic literature, and reaches the following broad conclusions:

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  investment in human resources contributes significantly to productivity growth;

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  there is clear evidence that human capital plays a key role in fostering technological change;

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  human-capital investment appears attractive relative to alternative assets, from both the individual and aggregate perspectives; and

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  policies that raise the quantity and quality of the stock of human capital are compatible with increasing social cohesion.

Suggests that investment in people is a crucial growth factor, particularly in the current context of rapid technological change, and a key instrument for enhancing social cohesion.