Public investment and human capital with segmented labour markets
构建了一个包含劳动力市场分割和效率工资的动态一般均衡模型，研究低收入国家劳动力市场结构如何影响人力资本投资的效果，发现教育投资比基础设施投资更能促进长期发展，但存在跨期权衡。
Abstract We develop a dynamic general equilibrium macroeconomic model with segmented labour markets and efficiency wages to examine how labour market structures influence the impact of human capital investment in low-income countries. For plausible calibration values, public investment in education is much more effective than infrastructure investment in promoting long-run economic development, but because investment in education affects labour productivity with a lag, policymakers face an intertemporal trade-off which depends on their social discount rate and the weight of distributional objectives in the social welfare function. We show the distortionary structure of labour markets matters in leveraging welfare gains from public investment and in shifting the optimal public investment programme further in favour of human capital, relative to the case of flex-wage full-employment labour markets.