Ukraine’s resilience to crises: the formation and development of human capital

Positive influence on the demographic processes that ensure the physical reproduction of human capital is one of the most challenging tasks for a state. These processes set not only quantitative but also qualitative (gender and age composition, general wellbeing) limits to the formation of human resources.

The natural population change and migration patterns determine the population growth and, at the same time, its age-gender structure. Fertility, mortality and migration rates determine both how many of us there will be and our capacity to achieve a sustainable development path. A population decline per se would be less threatening if it did not lead to changes in the age-gender structure of the population.

The low number of children born today will reduce the potential for economic growth and undermine the social insurance and solidarity principle in 20-25 years.

Government policy on the formation and development of human capital should be based on identifying and assessing the threats posed by current demographic development. Although it is important to increase the quality of human resources, it is also necessary to ensure that their quantity is sufficient. Only then will the effectiveness of public investment in human capital be maximised.