Distortion between Economic and Financial Performance. Does the Human Capital Matter?
This paper focuses on and compares two specific definitions of performance: economic and financial, with the aim to provide evidence that supports the distinctions between both definitions. Relying on a Belgian sample consisting of 14,135 firms, our results show that one specific variable deserves t...
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doaj-b18de91c873244b18cb1d1bb8a9b70f52020-11-25T00:32:45ZengSprint InvestifyExpert Journal of Economics2359-77042017-08-01525361Distortion between Economic and Financial Performance. Does the Human Capital Matter?Loredana CULTRERA0Guillaume VERMEYLEN1University of Mons - Warocqué School of Business and Economics, BelgiumUniversity of Mons - Warocqué School of Business and Economics, BelgiumThis paper focuses on and compares two specific definitions of performance: economic and financial, with the aim to provide evidence that supports the distinctions between both definitions. Relying on a Belgian sample consisting of 14,135 firms, our results show that one specific variable deserves to be questioned: the worker’s level of education. On one hand, it seems that the workers’ level of education has a positive impact on economic performance; namely, the more the firms hire highly educated workers, the more productive it is. On the other hand, it seems that the effect is entirely the opposite when the financial performance is taken into account. In this case, the more the firms rely on highly educated workers, the less it is performing in a competitive manner.http://economics.expertjournals.com/23597704-507/Financial PerformanceFirm PerformancePanel dataEconomic Performance |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Loredana CULTRERA Guillaume VERMEYLEN |
spellingShingle |
Loredana CULTRERA Guillaume VERMEYLEN Distortion between Economic and Financial Performance. Does the Human Capital Matter? Expert Journal of Economics Financial Performance Firm Performance Panel data Economic Performance |
author_facet |
Loredana CULTRERA Guillaume VERMEYLEN |
author_sort |
Loredana CULTRERA |
title |
Distortion between Economic and Financial Performance. Does the Human Capital Matter? |
title_short |
Distortion between Economic and Financial Performance. Does the Human Capital Matter? |
title_full |
Distortion between Economic and Financial Performance. Does the Human Capital Matter? |
title_fullStr |
Distortion between Economic and Financial Performance. Does the Human Capital Matter? |
title_full_unstemmed |
Distortion between Economic and Financial Performance. Does the Human Capital Matter? |
title_sort |
distortion between economic and financial performance. does the human capital matter? |
publisher |
Sprint Investify |
series |
Expert Journal of Economics |
issn |
2359-7704 |
publishDate |
2017-08-01 |
description |
This paper focuses on and compares two specific definitions of performance: economic and financial, with the aim to provide evidence that supports the distinctions between both definitions. Relying on a Belgian sample consisting of 14,135 firms, our results show that one specific variable deserves to be questioned: the worker’s level of education. On one hand, it seems that the workers’ level of education has a positive impact on economic performance; namely, the more the firms hire highly educated workers, the more productive it is. On the other hand, it seems that the effect is entirely the opposite when the financial performance is taken into account. In this case, the more the firms rely on highly educated workers, the less it is performing in a competitive manner. |
topic |
Financial Performance Firm Performance Panel data Economic Performance |
url |
http://economics.expertjournals.com/23597704-507/ |
work_keys_str_mv |
AT loredanacultrera distortionbetweeneconomicandfinancialperformancedoesthehumancapitalmatter AT guillaumevermeylen distortionbetweeneconomicandfinancialperformancedoesthehumancapitalmatter |
_version_ |
1725319238869057536 |