Human Capital in Industry Sector of East Azarbaijan Province

Human capital is one of the important effective factors on economic growth.The objective of this paper is to find out the effect of human capital in the industry,s growth comparing with the effect of other factors such as the scale and technology of industry. In orther to investigating the impact of human capital on product growth in industry level, during the period of 1374-1385, by using pooling data approach, a cobb-douglas function has estimated. The result shows that human capital has a positive and significance effect on the product growth in industry level of east Azarbaijan province. To study of the effect of human capital on TFP, A DEA technique has employed. Through this technique by using the Malmquist Index, it has found that during the period of 1374-1385, the changes of management efficiency, as an index of human capital, affected theTFP almost the same as other factors.