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Public and Private Expenditures on Human Capital Accumulation in India

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  • Chetan Ghate
  • Gerhard Glomm
  • John T. Stone III

Abstract

We study a model of human capital driven growth, where the parent's human capital serves as a productive input in the child's human capital production only when that of the former exceeds a minimum level required to intellectually contribute to the child's learning. Private and public expenditures on education enter in the child's human capital production function, and are allowed to vary in terms of substitutability and relative productivity. Households receive income from labor and face both labor and consumption taxes.

Suggested Citation

  • Chetan Ghate & Gerhard Glomm & John T. Stone III, 2015. "Public and Private Expenditures on Human Capital Accumulation in India," WIDER Working Paper Series wp-2015-024, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2015-024
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    More about this item

    Keywords

    Economic growth; Education; Equality and inequality; Human capital; Taxation;
    All these keywords.

    JEL classification:

    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • I00 - Health, Education, and Welfare - - General - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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