The contribution of education and employment in the development of Iran's human capital index

Author

Assistant Professor, Department of Sociology, Faculty of Humanities, Arak University, Markazi, Iran

10.22034/jeds.2026.71113.1922

Abstract

Introduction: Human capital is the knowledge and skills that enable people to create value in the economic system. The purpose of calculating and displaying the human capital of Iran is to provide a comprehensive assessment of the state of this index in the whole country. To calculate the global human capital index in Iran, two sub-indices of educational capacity and labor force utilization have been used. This study used data from the Statistical Center of Iran in two periods, 2016 and 2024.
Methodology: The research method is to calculate composite indicators using standardization and weighted average.
Results: The findings show that during the two periods studied the human capital situation in Iran decreased by 3%. Although educational capacities increased in all provinces of Iran during the two periods, the level of utilization of the labor force decreased during this time. It seems that the use of labor force was not proportionate to the country's educational potential, and the educational capacities created in Iran did not have the ability to be absorbed in the country's labor market as educated labor forces.
Conclusion: Therefore, paying attention to the quantitative and qualitative components that make up the human capital index as human development levers is a key consideration for policymakers and business owners in order to increase efficiency and value in the Iranian economic system.

Keywords

Main Subjects

References

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