Effects of Human Capital on Economic Growth in Iran

The aim of this study is to analyze the effects of this factor on the Iranian economic growth of Iran the required data were collected by from various issues of Central Bank of Iran, Statistical Center of Iran and PDS economic database during the1974-2007. The number of employ people enjoyed higher education as a proxy of human capital was entered into the growth equation to estimate the model under ARDL approach. The results showed that human capital has a positive and significant impact on the economic growth both long and short run. In addition, the long term relationship between the independent variables and dependent variables of the model was confirmed.