THE ROLE OF HUMAN CAPITAL IN THE FORMATION OF DETERMINANTS OF INNOVATION ACTIVITY

Abstract

The modern world faces great challenges. The negative effects due the pandemic and humanitarian, economic, logistical and other problems caused by the Russia-Ukraine war took on a global character. In this reality, it is clear that supporting development prosses is very important.  In the twenty-first century, innovative development is considered as one of the most optimal way. Therefore, it is essential to evaluate the innovative activity of the country and ensure its growth.

The paper presents an analysis of macro-determinants of innovation activity. Particular attention is paid to the human capital contribution to the macrodeterminants of country's innovative activity. The study analyzes the data of inovation indicators for Georgia and EaP Countries.

Keywords: Innovation Activity, Human Capital, Global Competitiveness Index, Human Capital Index