Controversies concerning the connection higher education – human capital – competitiveness.docVIP

Theoretical and Applied Economics Volume XIX (2012), No. 12(577), pp. 125-142 Controversies concerning the connection higher education – human capital – competitiveness Liana BADEA The Bucharest University of Economic Studies liana.badea@economie.ase.ro Angela ROGOJANU The Bucharest University of Economic Studies angelarogojanu@ Abstract. Based on human capital theory, initiated by some representatives of the new school in Chicago in the second half of the twentieth century (Th. W. Schultz, G. Becker and G. Stigler), we see that there is a theoretical vein-slogan: Man is the most precious wealth of a country, and if we corroborate this slogan with an adaptation of what Adam Smith stated in the eighteenth century – A country is rich if it has rich/educated individuals, we reason, based on the literature review, that between higher education, human capital and competitiveness there is an indestructible link, influencing, in its turn, the economic growth and development. This paper aims to highlight the main elements describing the link existing between higher education, human capital and competitiveness, bringing to the fore the Romanian reality. Keywords: human capital; competitiveness; higher education; economic growth; controversies. JEL Codes: J24, A39, B00. REL Code: 12C.  126 Liana Badea, Angela Rogojanu 1. Introduction Nowadays, it is globally observed the fact that the society as a whole is moving towards an era whose future essence will be determined by the ability of individuals to effectively use knowledge and skills in order to adapt to the changes of the economic and social environment. The economists of the twentieth century have shown the importance of investments in capital and infrastructure in growing the competitiveness. However, the failure of some countries to achieve significant growth, despite large investments