HUMAN CAPITAL AND PRODUCTIVITY GROWTH IN AGRICULTURE IN VIETNAM

Tóm tắt

For a country that is in the process of transforming its agricultural model for development like Vietnam, human capital development is one of the most important keys to ensure the sustainable of economy. In order improve agricultural productivity, it is needed to increase the level of human capital of the agrarian population. This study examines the relationship between human capital and labor productivity in the 1997 - 2018 period of Vietnam. This study employs a quantitative approach, using the endogenous growth model with the Cobb-Douglas production function to analyze the factor’s contribution to Agriculture labor productivity. The result showed that human capital development has a significant impact on agricultural productivity in Vietnam. The result also showed that there exists a U-shaped quadratic relationship between trade openness and agricultural output. The findings also showed that the contribution rate of human capital in labor productivity growth is low, while capital investment does not reflect changes in labor productivity. Therefore, in order for human capital to become one of the important factors to promote Agriculture labor productivity in the future, Vietnam needs to raise awareness of the role of human capital and to focus on developing human resources as a tool for improving productivity of agriculture, to transform the growth model from width to depth. It should also be essential to move towards developing hi-tech agriculture with high productivity in the future.