Human capital in the development of society and the knowledge-based economy

Abstract

Over the last few years there have been big changes in the economy (GOW). Human capital is recognised as a factor for development and growth. It adds to the classic theory of growth based on capital and labor. The aim of the article is an indication that the challenges to the development of society and the knowledge-based economy have resulted in a focus on human capital, new ways to manage it, the role of education, training and competence of the employees. In terms of increasing competition, knowledge has become the factor that creates competitive advantage. In today’s business, economy can not function well without the knowledge and use of scientific research. Transfer of knowledge from the science sector of the economy is the basis for innovation and economic growth. In deciding the question of the role of human capital in socio-economic development in the article it`s explaining the concept of social development, economic development, economic growth, human capital and intellectual capital. The article focuses on the impact of human capital and knowledge on economic development. It presents the concepts of social and economic development as helpful in understanding the direction of changes in the development. These changes lead to the growth of the role of knowledge in society and in the economy. By analyzing this issue, in the article attention is drew to the possibilities and limitations of the development of human capital in the knowledge society. In the article it`s stressed that the knowledge-based society, knowledge- -based economy, implies increased demand for knowledge workers, on intellectual capital, as well as knowledge management. In the article mentioned the demographic determinants of economic development; there are signalled problems related to migration and unemployment; it emphasises the role of education, training and competence of the employees.