Approach to Impact of Human Capital and Foreign Trade on Regional Economy Based on Threshold Estimation

Abstract

In the period of world economic integration and China’s economic reform, this paper takes R&D input intensity and FDI spillover as the threshold of human resources and foreign trade for economic growth to establish the threshold regression model to empirical analyze the relation between human resources, foreign trade and economic growth based on 2004-2015 Provincial Panel Data in China. Studies have shown that the contribution of human resources for economic growth by a significant effect of the threshold of R&D. With the increase of R&D input intensity, the relationship between high-quality human resources and economic development was a significant positive correlation. And with the improvement of the level of FDI spillover, the effects of foreign trade on economic growth become weakened. The research provides scientific basis and references for human resources management foreign trade policy establishment, ensuring the steady and healthy development of economy.