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Austria 2025 – The Effect of Human Capital Accumulation on Output Growth

Author

Listed:
  • Sandra Bilek-Steindl
  • Christian Glocker

    (WIFO)

  • Serguei Kaniovski
  • Thomas Url

    (WIFO)

Abstract

The study measures the contribution of human capital to output growth in Austria. Human capital is usually referred to as the stock of knowledge and abilities of the labour force which raises productivity and can be attained by education or other processes. Following Katz – Murphy (1992), we construct a measure for the Austrian human capital stock. Using data on remuneration according to educational attainment, raw labour input is rebased into efficiency units. Applying a standard growth accounting approach we show the importance of human capital and education for the Austrian GDP growth. We are able to explain a part of the past output growth, which is otherwise subsumed in residual total factor productivity growth.

Suggested Citation

  • Sandra Bilek-Steindl & Christian Glocker & Serguei Kaniovski & Thomas Url, 2016. "Austria 2025 – The Effect of Human Capital Accumulation on Output Growth," WIFO Studies, WIFO, number 59175, January.
    • Handle: RePEc:wfo:wstudy:59175
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    References listed on IDEAS

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