Spagat, M (2003) Human Capital and the Future of Transition Economies.
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Transition economies have an initial condition of high human capital relative to GDP per capita, giving them high growth potential. In the model, at a good equilibrium a large nuber of children of well-educated parents take advantage of their familybackgrounds and invest substantially in their own human capital. At a bad equilibrium, past educational achievements are wasted as children fail to build upon their parents' achievements. Policies and economic conditions can be decisive in determining the outcome. The model provides a basis for distinguishing development economics from transition economics.
This is a Submitted version This version's date is: 2/10/2003 This item is not peer reviewed
https://repository.royalholloway.ac.uk/items/89a8190b-98f8-9182-60a3-fc22e2239007/5/
Deposited by Research Information System (atira) on 03-Jul-2014 in Royal Holloway Research Online.Last modified on 03-Jul-2014