Economic growth means the increase in real national income of a country. The contribution of the educated person to economic growth is more than that of an illiterate person. Education and health are important factors of economic growth.

Human capital contributes not only towards increasing labour productivity but also stimulates innovations and creates ability to absorb new technologies. Education provides knowledge to understand changes in society and scientific advancements. Higher income causes building of high level of human capital and also the high level of human capital causes growth of income,

It is difficult to establish a relation of cause and effect from growth of human capital to economic growth but with the help of the following table we can establish relationship between the two.

Select Indicators of Development in Education and Health Sectors:

The Table 5.1 shows that growth in each sector probably has reinforced the growth of every other sector. With the increase in literacy rate, per capita income and the life expectancy at birth have increased and infant mortality rate and crude death rate have decreased. Human capital is the most important factor of production in today's economy. Increase in human capital are important to achieving increase in GDP.