Relationship between Human Capital and Economic Growth Emphasizing Socialist and Oil-producing Countries

This paper aims to analyze the effect of human capital on economic growth. Linear regression models with ordinary least squares method have been used for the analysis in which the dependent variable of Gross Domestic Product (GDP) per capita growth is decided according to real price and independent variables for human capital are enrollment rate in different education levels and also literacy rate. For control variables, socialist countries and petroleum exporting countries are fed into the regression as dummy variables. The cross-country data of this research are provided and calculated in a sectional manner according to the information and statistics of the World Bank. The results of this research are demonstrative of the positive and statistically meaningful influence of the variables of enrollment rate in secondary schools and literacy level on GDP growth. Countries with socialist backgrounds and petroleum exporting countries also have a positive and meaningful effect on GDP per capita growth.