Tuesday, October 30 2018 17:32

ArmInfo. Armenia ranked 78th in terms of the Human Capital Index (HC)I, calculated by World Bank specialists. The HCI in Armenia amounted to 0.57.  According to  the report, Armenia is located between Jordan (79th place) and Kuwait  (76th place) in terms of the ISC.

Russia ranked 34th with the index  0.73, Kazakhstan 31 with the index index 0.75, Germany - 11th place  with the index 0.79. The top three with the highest HCI include  Singapore (0.88), South Korea (0.84) and Japan (0.84). Neighbors in  the region; Georgia ranked 61st with an index of 0.61, Azerbaijan -  69th place with an index of 0.60.

It is noted that HCI  consists of three key components: the survival  of children under five years old, education (taking into account not  only the number of years of schooling, but also the quality of  knowledge), health (the coefficient of developmental delays of  children from five years old, and the proportion of 15-year-olds who  will live up to 60 years). As noted in the World Bank report, Armenia  is in the category of countries with average values.

As noted at Zakon.kz, Susanna Hayrapetyan, a leading health care  specialist at the World Bank, noted that briefly, human capital is a  collection of knowledge and skills used to meet the diverse needs of  the individual and society as a whole. It includes the level of  medicine, the level of development of the region, the quality of  education and many factors. In a broad sense, the term HC was  understood only as a set of investments in a person, increasing his  ability to work.

However, today the concept has acquired a wider meaning. The latest  calculations made by World Bank experts include consumer spending -  the cost to families of food, clothing, housing, education, health,  culture, and government spending on these goals. Human capital in a  broad sense is an intensive productive factor of economic  development, development of society and family, including the  educated part of labor resources, knowledge, tools of intellectual  and managerial labor, living environment and labor activity, ensuring  the effective and rational functioning of human capital as a  productive factor of development.

In turn, the human capital index allows you to measure the amount of  human capital that a newborn child can count on at the time of its  18th anniversary. The index reflects the level of labor productivity  of the new generation of workers in comparison with the benchmark  level of complete education and full health in the country. Today,  the index is calculated among 157 countries.

In short, the HC index in Armenia at 0.57 means that the future  generation will lose 43% of the expected income.