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Interrelationships Between Human Capital And Social Capital: Implications For Economic Development In Transition Economies

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  • Eve Parts

Abstract

One of the main tasks of the transition economies is to catch up with the advanced levels of highly developed economies. The lack of social capital is a major impediment to this process, as it does not allow taking advantage of the comparatively high level of human capital in these countries. The purpose of the current paper is to study the interrelationships between human capital and social capital, with the main emphasis on how social capital affects the accumulation of human capital. In general, social capital acts like a filter through which human and financial capital flow from the parents and the community to the child, producing better educational outcomes and thus helping to achieve better results in development.

Suggested Citation

  • Eve Parts, 2003. "Interrelationships Between Human Capital And Social Capital: Implications For Economic Development In Transition Economies," University of Tartu - Faculty of Economics and Business Administration Working Paper Series 24, Faculty of Economics and Business Administration, University of Tartu (Estonia).
  • Handle: RePEc:mtk:febawb:24
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    Keywords

    human capital; social capital; economic development; transition economies;

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