Human Capital and Economic Growth

Endogenous growth theories can be classified into two Categories. First, growth driven by human capital and second, growth driven by Research and Development, followed by Lucas (1988)and Romer(1990) respectively. According to Lucas (1988)Human capital plays a vital role in economic growth where as according to Romer(1990)spillovers from research and development play more significant role in affecting Total Factor Productivity. In this book i have made an attempt to analyze the growth mechanism of both Lucas and Romer for different enrollment levels. Fortunately, in Pakistan, growth mechanism in compatible with Romer and Technology enhances the productivity of both physical as well as human capital.