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• W2320222702 abstract "This paper is purposed to study the role of human capital in a two-sector economy consisting of a traditional sector and a modern sector, like Vietnam and other developing countries. By assuming that the modern sector requires some certain threshold level of human capital and the young can only borrow from their parents to invest on human capital because of the absence of a credit market for financing investment in human capital, we successfully construct an overlapping generations model in which there are a poverty trap in the traditional sector and a stable balanced growth path in the modern sector. This theoretical framework suggests important roles of public policies on human capital in reducing poverty and promoting the process of industrialization in developing countries. Empirical evidences, by using a cross-country database for developing countries and a cross-province database for the Vietnamese economy, also indicate that there are strongly positive relations between the levels of human capital and industrialization as well as an important role of public spending in education to the process of industrialization." @default.
• W2320222702 created "2016-06-24" @default.
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• W2320222702 date "2003-01-01" @default.
• W2320222702 modified "2023-09-24" @default.
• W2320222702 title "Human Capital, Poverty Trap, and Industrialization Human Capital, Poverty Trap, and Industrialization Human Capital, Poverty Trap, and Industrialization Human Capital, Poverty Trap, and Industrialization ∗" @default.
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