Role of Human Capital in Technology Growth in ASEAN Countries

Abstract

The study aims to assess the role of human capital in technological advancement in ASEAN countries during the period 1971–2019. Using the Markov Chain Monte Carlo (MCMC) algorithm within a Bayesian mixed-effects framework, the results indicate that secondary-level human capital contributes more to technological progress than tertiary-level human capital. Additionally, the adoption and absorption of foreign technology play a more significant role in driving technological growth in ASEAN countries. These findings align with the predictions of the Nelson-Phelps model. Based on the research results, the author proposes four solutions to rapidly develop.