Human Capital as an Economic Category: Evolution of Concepts and Modern Understanding

Abstract

The author’s approach to the theoretical analysis of the evolution in the human capital concepts and key elements of this economic term is presented in the article. The methodologies of evolutionary and systemic approaches in economic theory were used as tools for this analysis. The evolution of concepts and content of terms denoting any socio-economic phenomena does not occur independently, but is interconnected with the development of productive forces and production relations in a given society. It is determined by the logic of the development unambiguously. The human capital as a scientific category is not an exception. Despite the fact that this term appeared relatively recently, the economic phenomenon that it denotes has existed for as long as we talk about productive labor and capital in the modern sense. As a result, the evolution of economic systems and concepts describing them has led to the analytical identification of two key elements of human capital: education and health. Ignoring at least one of these elements in the analysis would prevent from understanding the true economic nature of human capital, while adding new ones would not change the phenomenon significantly.