Human Capital formation and economic growth in Tamilnadu

Economic growth is determined by several factors such as land, labour, capital, entrepreneurs, technologies and so on. Among the traditional factors of production labour and entrepreneur play a major role in determining economic growth. The combined efforts of labour and entrepreneur constitute human capital which is the most significant input influences output to a large extent. It is already established that there is a positive association between economic growth and human capital formation. The quality of human capital may be enhanced by investing in people especially expenditures on health and education. Human health and education positively influence economic growth. The analysis made by the authors in this research work clearly showcase the positive association between human capital formation and economic growth.