The spatial effect of human capital and regional economic growth

The majority of literatures on the effect of human capital on regional economic growth neglect the spatial effect of human capital.Based on hypothesis of the physical capital externalities and the technological spatial interdependence between provinces,the paper introduces the spatial lagged term of variable into the model of Mankiw,Romer and Weil(1992)(MRW Model),develops a Spatial MRW Model,and conducts Fixed-effect Spatial Panel Estimation in the samples of the whole China,eastern China and western China,respectively.The empirical results approve the correctness of hypothesis and receive the following conclusion.The contribution of human capital and the spatial spillover effect of human capital on economic growth in China's eastern region is more than twice as that in China's western region,but they are statistically insignificant.