Liberty Street Economics
Return to Liberty Street Economics Home Page

4 posts on "Human Capital"

August 11, 2016

Human Capital and Education in Puerto Rico



LSE_Human Capital and Education in Puerto Rico

Educational attainment is an important element of human capital; however a series of recent papers highlights the crucial role of the quality of education—which determines the skills actually learned, rather than the number of years spent in a classroom—as a main driver of growth. In fact, Hanushek and Woessmann argue that the importance of more appropriately measuring skills is seen in the very tight relationship between quality of skills, or knowledge capital, and growth. Moreover, the researchers state, “The knowledge capital–growth relationship suggests little mystery for East Asia, Latin America, or other regions: Growth rates are accounted for by cognitive skills.” Similarly, “Considering knowledge capital dramatically increases our ability to account for differences in growth.”

Continue reading "Human Capital and Education in Puerto Rico" »

Posted by Blog Author at 7:00 AM in Education, Human Capital, Puerto Rico, Regional Analysis | Permalink | Comments (3)

August 09, 2016

Migration in Puerto Rico: Is There a Brain Drain?



LSE_Migration in Puerto Rico: Is There a Brain Drain?

Given Puerto Rico’s long-term economic malaise and ongoing fiscal crisis, it is no wonder that out-migration of the Island’s residents has picked up. Over the past five years alone, migration has resulted in a net outflow of almost 300,000 people, a staggering loss. It would make matters worse, however, if Puerto Rico were losing an outsized share of its highest-paid workers. But we find that, if anything, Puerto Rico’s migrants are actually tilted somewhat toward the lower end of the skills and earnings spectrum. Still, such a large outflow of potentially productive workers and taxpayers is an alarming trend that is likely to have profound consequences for the Island for years to come.

Continue reading "Migration in Puerto Rico: Is There a Brain Drain?" »

September 04, 2014

College May Not Pay Off for Everyone

Jaison R. Abel and Richard Deitz

This post is the third in a series of four Liberty Street Economics posts examining the value
of a college degree
.


In our recent Current Issues article and blog post on the value of a college degree, we showed that the economic benefits of a bachelor’s degree still far outweigh the costs. However, this does not mean that college is a good investment for everyone. Our work, like the work of many others who come to a similar conclusion, is based in large part on the empirical observation that the average wages of college graduates are significantly higher than the average wages of those with only a high school diploma. However, not all college students come from Lake Wobegon, where “all of the children are above average.” In this post, we show that a good number of college graduates earn wages that are not materially different from those of the typical worker with just a high school diploma. This suggests that, at least from an economic perspective, college may not pay off for a significant number of people.

Continue reading "College May Not Pay Off for Everyone" »

Posted by Blog Author at 7:00 AM in Human Capital, Labor Economics, Wages | Permalink | Comments (4)

February 13, 2012

How Colleges and Universities Can Help Their Local Economies

Jaison R. Abel and Richard Deitz

Policymakers are increasingly viewing colleges and universities as important engines of growth for their local areas. In addition to having direct economic impacts, these institutions help to raise the skills of an area’s workforce (its local “human capital”), and they do this in two ways. First, by educating potential workers, they increase the supply of human capital in a region. Perhaps less obviously, these schools can also raise a region’s demand for human capital by helping local businesses create jobs for skilled workers. In this post, we draw on our recent academic research and Current Issues article to outline these pathways and how they might inform local economic development policy. (We also discuss our findings in a new video.)

Continue reading "How Colleges and Universities Can Help Their Local Economies" »

Posted by Blog Author at 7:00 AM in Human Capital, Regional Analysis | Permalink | Comments (1)
About the Blog
Liberty Street Economics features insight and analysis from economists working at the intersection of research and policy. The editors are Michael Fleming, Andrew Haughwout, Thomas Klitgaard, and Donald Morgan.

The views expressed are those of the authors, and do not necessarily reflect the position of the New York Fed or the Federal Reserve System.


Economic Research Tracker

Liberty Street Economics is now available on the iPhone® and iPad® and can be customized by economic research topic or economist.

Most Viewed

Last 12 Months
LSE in the News

Access to linked content may require a subscription.


Useful Links
Feedback & Comment Guidelines
Liberty Street Economics invites you to comment on a post.
Comment Guidelines
We encourage you to submit comments, queries and suggestions on our blog entries. We will post them below the entry, subject to the following guidelines:
Please be brief: Comments are limited to 1500 characters.
Please be quick: Comments submitted more than 1 week after the blog entry appears will not be posted.
Please try to submit before COB on Friday: Comments submitted after that will not be posted until Monday morning.
Please be on-topic and patient: Comments are moderated and will not appear until they have been reviewed to ensure that they are substantive and clearly related to the topic of the post. The moderator will not post comments that are abusive, harassing, or threatening; obscene or vulgar; or commercial in nature; as well as comments that constitute a personal attack.  We reserve the right not to post a comment; no notice will be given regarding whether a submission will or will not be posted.
Disclosure Policy
The LSE editors ask authors submitting a post to the blog to confirm that they have no conflicts of interest as defined by the American Economic Association in its Disclosure Policy. If an author has sources of financial support or other interests that could be perceived as influencing the research presented in the post, we disclose that fact in a statement prepared by the author and appended to the author information at the end of the post. If the author has no such interests to disclose, no statement is provided. Note, however, that we do indicate in all cases if a data vendor or other party has a right to review a post.
Archives