The Effects of Monetary Index of Thrift and Hardworking on Human Capital in Selected Developing Countries: An Emphasis on Iran

The aim of this study is to investigate the effect of monetary index of thrift and hardworking (as cultural capital) on human capital in selected developing countries during 2005-2012.The data gathering method in this survey is based on library databases. Panel method is used to analysis the data and test the hypothesis. In order to estimate the model, generalized method of moments (GMM) is used. The results show that indices of cultural capital (hardworking index and monetary index of thrift) have positive and significant effect on the human development index in short and long-term. Also the impact of cultural factors on the human development index is higher in the long term than the short term. The innovation of this survey is to use new cultural indices such as monetary index of thrift and hardworking index which are highlighted in foreign studies.