The impact of human capital on financial development in Vietnam

The study is conducted to investigate the impact of human capital on financial development in Vietnam, the period 1990-2018. Human capital is measured through primary school enrollment, worker health, the working population, and the variable that controls GDP per capital. Financial development is mearsured through domestic credit to privete sector. The study applies Autoregressive Distributed Lag (ARDL) to assess the short run and long run impact between human capital and financial development. The results show that the variables of human capital have a positive impact on financial development in Vietnam, except that the working population has the opposite effect.