Noble International Journal of Economics and Financial Research ISSN(e): 2519-9730 ISSN(p): 2523-0565 Vol. 1, No. 1, pp: 6-11, 2016 Published by Noble Academic Publisher URL: http://napublisher.org/?ic=journals&id=2 Open Access 6 Analyze the Impacts of Human Development on the Industrial Value Added Arash Ketabforoush Badri a* , Afshin Ketabforoush Badri b , Aidin Poorabdollahi Sheshgelani c , Fatemeh Ghahremani d a* Department of Economics, Faculty of Management and Accounting, Qazvin Branch, Islamic Azad University, Qazvin, Iran b Department of Management, Faculty of Management, Marand Branch, Islamic Azad University, Marand, Iran c,d Department of Management, Faculty of Management, Economics and Accounting, Tabriz branch, Islamic Azad University, Tabriz, Iran Abstract: The industry sector is one of the effective economic sectors in developing countries. Here is an issue that has attracted experts and theorists, the correct and rational use of the abilities and talents of manpower in community. With knowledge of the matter, this paper is trying to examine the impacts of human development on the industrial value added in developing countries at the period 2006 to 2012 by using panel data method. The results show that human development has a direct impact on industrial value added. Keywords: Human Development, Industry Value-Added, Panel Data. 1. Introduction Today, the role and importance of human power in the process of production and services in human societies are known as the most important factors. By taking a look at the levels of civilization it can be concluded that the role of human power has developed from simple working power (arm strength and mechanical work) to human capital (knowledge and skill) which is known as the most important factor of production, because if men can’t take advantage of sophisticated tools and technology, technology development will be useless. Human capital is an issue hotly debated by economists. In studies and investigations done on growth making factors, less than 50 percent of the growth is resulted by the primary factors of production (labor, capital and field) and the rest is resulted by unknown factors like technology change, productivity increase and the remaining factor. And today, mostly they believe that this qualitative factor is nothing but the role of human factor (Emazadeh and Bakhtash, 2005). The noticeable point is that today injecting large amounts of physical capital to the countries of the world actually has not resulted increase of their growth, but only countries that had a productive organization and at the same time had skilled human capital, have been able to use physical and material capital decently for making the growth process faster (Moradi et al., 2013). It is to be mentioned that economic sectors must pay special attention to find ways to improve using human power and making their industries productive and they must consider this, because special attention to quality and productivity of the labor force can help them achieve this purpose because of its beneficial results. So in order to achieve it, first it must be started from investing in human power (Okpala, 2007). For this purpose, this paper is trying to examine the impacts of human development on the industrial value added in developing countries at the period 2006 to 2012 by using panel data method.