SPECIFIC USES OF HUMAN CAPITAL IN RURAL AREAS IN THE CONDITIONS OF EUROPEAN INTEGRATION

Анотація

Human capital is a necessary condition for maintaining the competitiveness of the economy of the country and the state on world markets in the conditions of globalization, as well as the most important characteristic of the activity of the legislative and executive authorities in the country. This article examines the essence and main problems of human capital development. Issues and problems related to the assessment of the quality of human capital, factors contributing to its development are also considered. The development of human capital is associated with limiting factors in various areas of formation and application of human capital. Practically each of them is a consequence and cause of not one, but a whole series of restrictions. The dualism of human capital is manifested in the fact that it becomes, on the one hand, the goal of socio-economic development, on the other hand, the main tool of progress, the most important factors of transformation and modernization of the economy. The human potential of rural areas, embodied in the totality of knowledge, skills, abilities, including the physical of the rural population, becomes capital if it gives an economic effect, that is, if there is a conversion of human capital into economic capital. Human capital is a factor of long-term use, but at the same time it has a limited period of validity. Over time, knowledge and skills wear out. The rapid development of technology does not allow all employees to improve their professional skills or change the field of activity. Human capital is an exhaustible resource and requires some cost to maintain effective performance, as it ages quite quickly and its value can rise and fall. Limiters to the development of human capital determine not only the obstacles and restraining factors of increasing the indicator, but also provide an opportunity to manage development. Thus, by developing or restraining the development of certain spheres of life and industries, it is possible to increase the speed of development of human capital. Improving the quality of human capital has a huge impact on the socio-economic, innovation-investment, cultural development of the state, determines its competitiveness among other countries of the world, acts as a prerequisite for the transition to the information society and improving the quality of life.

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