Education and human capital development: from stagnation to recession in the Ukrainian economy

Abstract

The purpose of the study is to identify the causes of prolonged stagnation and recession in the economy of independent Ukraine based on statistical data. The study uses descriptive and logical statistics, comparative analysis, and modeling. It has been established that economic stagnation in Ukraine has continued since 1989, when GDP per capita was US$4,243, and by 2018 it had fallen to US$3,110. It was confirmed that the authorities underestimated key development factors — education and human capital — which had a negative impact on the quality of governance and the well-being of the population. A direct relationship between economic growth, the level of education, and the development of human capital was identified. The scientific novelty of the study lies in the statistical justification that it was precisely the disregard for the relationship between education, human capital, and the national economy that became the main cause of economic instability. The practical value of the study lies in the possibility of applying its results in models of public administration and national economic development.