TY - JOUR AU - Li,Haizheng AU - Fraumeni,Barbara M. AU - Liu,Zhiqiang AU - Wang,Xiaojun TI - Human Capital In China JF - National Bureau of Economic Research Working Paper Series VL - No. 15500 PY - 2009 Y2 - November 2009 UR - http://www.nber.org/papers/w15500 L1 - http://www.nber.org/papers/w15500.pdf N1 - Author contact info: Haizheng Li School of Economics Georgia Institute of Technology Atlanta, GA 30332 E-Mail: haizheng.li@econ.gatech.edu Barbara M. Fraumeni Muskie School of Public Service University of Southern Maine P.O. Box 9300 Portland, ME 04104-9300 Tel: 207/228-8245 Fax: 207/780-5646 E-Mail: bfraumeni@usm.maine.edu Zhiqiang Liu SUNY Buffalo, Dept. of Economics 445 Fronczak Hall Buffalo, NY 14260 E-Mail: zqliu@buffalo.edu Xiaojun Wang University of Hawaii at Manoa, Dept. of Economics 2424 Maile Way SSB 527 Honolulu, HI 96822 E-Mail: xiaojun@hawaii.edu AB - In this paper we estimate China’s human capital stock from 1985 to 2007 based on the Jorgenson-Fraumeni lifetime income approach. An individual’s human capital stock is equal to the discounted present value of all future incomes he or she can generate. In our model, human capital accumulates through formal education as well as on-the-job training. The value of human capital is assumed to be zero upon reaching the mandatory retirement ages. China’s total real human capital increased from 26.98 billion yuan in 1985 (i.e., the base year) to 118.75 billion yuan in 2007, implying an average annual growth rate of 6.78%. The annual growth rate increased from 5.11% during 1985-1994 to 7.86% during 1995-2007. Per capita real human capital increased from 28,044 yuan in 1985 to 106,462 yuan in 2007, implying an average annual growth rate of 6.25%. The annual growth rate also increased from 3.9% during 1985-1994 to 7.5% during 1995-2007. Therefore, although population growth contributed significantly to the total human capital accumulation before 1994, per capita human capital growth was primary driving force after 1995. The substantial increase in educational attainment during 1985-2007 contributed significantly to the growth in total and per capita real human capital. ER -