The economic growth of any country depends on its natural resources,
human intellectual capital, progress in science and technology, and politically stable
governments. Improper management of human and natural resources may be one of the
key reasons for the underdevelopment. The financial deficit of a country precludes the
offering of viable indemnity to the skill-oriented people, which causes brain drain. The
brain drain theory is open-ended in developing countries. All the developed countries
are utilizing the human intellectual resources of developing and underdeveloped
countries. The human development index is low for the countries where human
resource management is below par. Related statistics also indicate that low investment
in higher education leads to low development in all aspects. All the developed
countries spend a higher percentage of their gross domestic product on higher
education. The quality and quantity of higher education institutions are the primary
factors for development. Doctoral degree holders’ salaries of different countries and
their respective gross domestic products have been compared and analyzed in the light
of the economic development in these countries. The structural changes that are
required in the higher educational institutions for the holistic development of a country
have also been suggested.
Keywords: Capacity, CSIR, Development, Economy, GDP, Gross enrollment,
HDI, Higher compensation, Higher education, Industrial sector, Intellectual
capacity, Quality, Service sector, Skill development, UGC, UNDP.
