Assessing Share of Islamic Azad University in Gross Domestic Product on the Basis of Human Capital Accumulation

This study provides an estimate of the share of the Islamic Azad University’s human asset in gross domestic product (GDP) from viewpoint of human capital accumulation theory. The share has been estimated on the basis of Cobb–Douglas production function. In addition, share of various educational levels of this university as compared to state-run universities has been also studied on the basis of regression analysis and variance analysis. Despite limitation of time series and low variance, a preliminary estimate can be offered on this basis. According to findings, share of human capital has been bigger at graduate levels compared to post-graduate levels, and there is a meaningful difference between share of human capital in state-run universities compared to the Islamic Azad University. Of course, considering the cost of training human capital in state-run universities, which is seven times higher than the Islamic Azad University, efficiency of human capital accumulation is higher in the Islamic Azad University. However, the output of gross domestic product in relation to human capital is a fixed scale.