“"Learning by Doing”, Human Capital of Entrepreneurs and the Dynamic Comparative Advantage Enhancement

Abstract : The notion of “learning by doing” has always been considered as one of t he most important sources of a country’s dynamic comparative advantage. By extending the technological progress model derived from “learning by doing” in the North-South trade frame , we find t hat the entrepreneurs’ human capital is the key factor which affect s t he technological progress and the economic growth of a country. By conducting an empirical study on t he entrepreneurs’ human capital and the “learning by doing” effect in the hi-tech industry , it reveal s t hat in t he long run ,the former exert s positive influence on the latter . The policy connotation of t he study is clear ,indicating that t he density of the entrepreneurs’ human capital and t heir ability to detect , learn and use a new technology do affect t he technological progress and economic growth. China should pay more attention to fostering the entrepreneurs’ human capital . Supportive policies that encourage t heir innovation undertakings should be made to further enhance t he dynamic comparative advantage.