Title:
IMPACT OF LABOR ON THE ECONOMIC GROWTH OF VIETNAM: HISTORY, SITUATION AND PREDICTION

Authors:
Dr. Phuong Huu Tung ,Vietnam

Abstract:
This paper analyzes the effects of the fluctuation in labor force and labor productivity on Vietnam's economic growth. Using the neoclassical growth model with data from the General Statistics Office, the study shows that when the number of laborers increases by 1%, the economic growth rate willraise by 2.78%. Combined with predicted figures on changes in Vietnam's labor force in the period of 2009-2049, the results of the study reveal in order to maintain the current economic growth rate, labor productivity needs to increase to 106.2%in the period of 2029-2039 and 111.6% in the period of 2039-2049. Vietnam is losing the advantage of labor forceso its long-term economic growth will depend mainly on labor productivity. Improving the quality of labor is the driving force for the economic growth. This depend son the combination of specific national policies and strategies, in which education and training policies are highlighted.