Role of human capital in territorial social and economic systems development

Liliya Svorobovich
PhD in Economics, Lecturer of Personnel Management and Labor Economics Department, Odessa National Economic University, Ukraine, e-mail: lilisvor@gmail.com, ORCID ID: https://orcid.org/0000-0002-0607-1382

Cite this article:

Svorobovich, L. (2018). Role of human capital in territorial social and economic systems development. Ed.: M. Zveryakov (ed.-in-ch.) and others [Rol liudskoho kapitalu v rozvytku terytorialnykh sotsialno-ekonomichnykh system; za red.: М. I. Zvieriakova (gol. red.) ta in.], Socio-economic research bulletin; Vìsnik socìal’no-ekonomìčnih doslìdžen’ (ISSN 2313-4569), Odessa National Economic University, Odessa, No. 3 (67), pp. 184–198.

Abstract

The evolution of scientific views on the human role in socio-economic processes, the socio-economic essence of the category «human capital» and its main components are considered in the article. Today is extremely important and relevant the analysis of human potential development level as an indicator of socio-economic system efficiency and competitiveness, is determined. Different theoretical approaches to assessing of human potential at both state and region level are investigated. The approaches to calculating of human potential development index with UN and national methodology are analyzed and compared. The indexes of Ukrainian human capital development for the period from 1990 to 2017 are given. The place of Ukraine in the world ranking to the indicator of human capital development is determined, a comparative analysis of the country's HCI with the most developed countries and CIS countries was conducted. The analysis of international experience in the calculation of regional human development indices has shown that their overwhelming part focuses on three traditional trends of human development: long and healthy life, educational achievements and wellbeing at the population level. Recommendations on the national and foreign methods convergence of human potential assessment are given. The problems of human capital development in Ukraine are determined. The necessity of investments in human capital, which is the most important factor of the country economic growth and the welfare of society, is emphasized. Recommendations on the state socio-economic policy strategic priorities, aimed at development and preservation of country’s human potential are proposed.

Keywords

human capital; human development index; regional human development index; education; health care; level and life expectancy; well-being and decent working conditions; human capital investments.

JEL classification: J240; DOI: https://doi.org/10.33987/vsed.3(67).2018.184-198

UD classification: 331.522.4:332.1

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