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How Large is the Stock Component of Human Capital? / Mark Huggett, Greg Kaplan.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Huggett, Mark.
Contributor:
National Bureau of Economic Research.
Kaplan, Greg.
Series:
Working Paper Series (National Bureau of Economic Research) no. w21238.
NBER working paper series no. w21238
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2015.
Summary:
This paper examines the value of an individual's human capital and the associated return on human capital using U.S. data on male earnings and financial asset returns. We find that (1) the value of human capital is far below the value implied by discounting earnings at the risk-free rate and (2) the stock component of the value of human capital is smaller than the bond component at all ages. The stock component averages less than 35 percent of the value of human capital at each age.
Notes:
Print version record
June 2015.

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