Impact of public investment on the quality of human capital

Lobachevsky State University of Nizhny Novgorod (UNN) 23 Prospekt Gagarina, 603022 Nizhny Novgorod, Russia

Abstract

The article discusses the importance of the problem of human capital formation. Human capital is a multifaceted concept that gives the greatest return in a modern economy. It is measurable. Since 1990, the World Bank has published annual reports on its dynamics, having developed a special index called the Human Development Index. In 1990, when the index was measured for the first time, the Russian Federation was in 49th place in the ranking, but subsequently dropped to 65. Last year we were able to move up to 41st place. The authors trace the dynamics of government investment in human capital and the final result, which is reflected in places in the world ranking. In the nineties of the twentieth century, the Russian Federation was in a deep crisis, investments in human capital were negative, so the place in the HDI rating dropped. Currently, a number of government programs aimed at the development of human capital are being implemented, and they are paying off.