Экономические науки/3.Финансовые отношения
PhD (Economics), Ass. Prof.
Konstantiuk N.I.
Ternopil Ivan Pul’uj National Technical University, Ukraine
Significance of education for development
of
knowledge-based capital
Nowadays
the world faces difficult problems, the results of economic woe being available
for some years since the crises have began. As it is clear the economic
situation and welfare of the society can not be improved taking advantage of
traditional methods, using general types of economic resources. Some countries experienced
it, but in spite of the global economic crisis they demonstrate economic
growth. Thus, economic growth can be possible thanks to qualitavely new kind of
capital - knowledge-based capital.
The basis of the knowledge-based
capital (KBC) is a person, who is able to acquire knowledge and to apply it
into practice. The United States has the most KBC-intensive manufacturing and
the Nordic economies have the most KBC-intensive services.
Education
is of the foremost impact on the personality as the carrier of the
knowledge-based capital. That is why the creation of knowledge-based capital is
possible through the investment in education, the results of which are
scientific investigations and innovations, which in total are in the heart of knowledge economy and the promoter of
long term growth.
The
investment in education, investigations and innovations generate the capital,
which is based on knowledge, which contributes
to the efficiency and rivalry of nations.
According
to the calculation of European countries the correlation of the expenses for
education and resulted economic effectiveness is 1:4, the labour efficiency of
the professional with higher education exceeding in 10-11 times the expenses
for his training.
American scientist E. Kohn demonstrates strong correlation relation
(k=0,96) between the national income per capita and expenses for education of
one person in 17 different countries. The researches of the Holland Institute
of Economics have calculated, that in 23 different countries according to their
economic development, every 1,038 % increase in the structure of the labour
power of workers with higher education and 0,65 % increase of workers with
secondary education caused the increase by 1 % of the national income. Analyzing
the relation between education and economic growth in 25 large countries of the
world American expert in the field of economic history Easterling has
interpreted the conclusion, that modern economic growth is caused usually by
the potential knowledge of population and its motivation, the background of
which is education.
T. Shultz makes possible to find the extent of the education effect on
the amount of the national income. Direct contribution of education in the
economic growth, according to the Shultz method, equals the part of the
national income spent for education in the running year multiplied by the rate
of investment effectiveness in the human capital. According to T. Shultz the
development of the system of education in the USA within the period from 1929
till 1957 has provided the increase of the national income by 21 % under
outcomes rate 11%.
Taking advantage of the Shultz method the American economist R. Solow
found, that owing to the investments in education the national income of the USA
during 1957-1982 has increased by 13 %.
The rapidly
growing demand for highly skilled workers has led to global competition for
talent. High-level skills are critical for creating new knowledge, technologies
and innovation and, as such, are keys to economic growth.
Human resources in
science and technology (HRST) play a key role in innovation. In most OECD
countries, professionals, associates and technicians – an occupation-based
proxy for HRST – represented more than a quarter of total employment in 2010,
with an EU average above 30%. In Luxembourg, Denmark, Sweden and Switzerland,
over 40% of all employed individuals are in these occupations. The split
between professionals and technicians differs across countries.
The industry
structure of employment shows that HRST are, in general, a little more
prevalent in business sector services than in manufacturing - with differences
of about 4 and 7 percentage points in the EU and the United States
respectively. In France and Germany, however, shares of these HRST workers are
higher in manufacturing than in business sector services while for a few other
EU countries, HRST shares in manufacturing are only slightly lower. This partly
reflects the skill intensity of manufacturing in these countries, as well as in
business sector services which are highly diverse in terms of skills use.
That is why the
government of Ukraine must take into account these facts of while forming
state financial policy for is economic growth, to promote the development of
education, which results in scientific investigations and innovations, as well
as supports human resources, which are carrier of the knowledge-based capital.
References:
1. Dlugopolsky O. V. Social sector of economy and
public finances in the era of global transformations: [Monography] / O.V.
Dlugopolsky – Ternopil: Economic thought, TNEU, 2011. – 632 p.
2. OECD (2013), OECD Science, Technology and
Industry Scoreboard 2013, OECD Publishing. [Electronic resource] / Access'
regime: http://dx.doi.org/10.1787/sti_scoreboard-2013-en.
3. OECD
(2015), Education Policy Outlook 2015: Making Reforms Happen, OECD Publishing.
[Electronic resource] / Access' regime: http://www.oecd.org/edu/EPO%202015_Highlights.pdf.