CONICET | Buscador de Institutos y Recursos Humanos

In the line of Nelson-Phelps´s approach on the importance of human capital stock as an endogenous source of economic growth, this paper examines how the existsence of important complementaries among educational achievments and I & D activities lead to the results of sustained growth or poverty traps via labor market characteristics. This approach includes the so-called effect- which reflects the loss in the stock of human capital reached from its unemployment or employment. It highlights the negative impact on growth throgh the reduction in the accumulation of human capital and the generation of innovations, and of the development of informal and subsistance markets.