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ABSTRACT It has been observed that human capital is an important factor behind economic growth, especially corresponding to the developed countries or, of the Organization of Economic Cooperation and Development (OECD) countries over the past five decades. The theoretical models differ however regarding the extent of impact of human capital upon the economic growth. According to the Solow-Cass-Koopmans type of models, increase in human capital has only transitory effect upon economic growth in the sense that it only affects the level of steady state output with a growth effect only during the transition towards the new steady state growth path. However, according to the Lucas type AK models, human capital has permanent effect on economic growth in the sense that it affects both the level and the growth rate of the steady state growth path. Here, we are going to test the empirical validity of the Augmented Solow Model vis-�-vis Uzawa-Lucas Model in terms of the speed of convergence firstly for the �Developed OECD Countries� to find out whether the impact of human capital on growth is transitory or permanent. Next, we are also going to enquire about the alteration in results, if any, when both India and China are included in the �OECD� Country Group. Here we are using the Dynamic Fixed Effects (DFE) Approach of Panel Data and using the GMM estimators for this purpose.