An analysis of the impact of human capital development on the regional economy's efficiency through the spatial correlation approach

Abstract

Subject. This article examines the factors that determine the level of human capital in the regions of Russia. Objectives. The article aims to analyze the differentiation of the regions of Russia by level of human capital development. Methods. For the study, we used the methods of horizontal statistical analysis, nonlinear regression modeling, and spatial econometrics based on Moran's I measure. Results. The article confirms the opinion of some authors about the significant differentiation of the regions of Russia in terms of the level of human capital development and reveals a positive nonlinear relationship between the indicators of the gross regional product and the level of human capital of the region. Conclusions. Improving the quality of human capital in the region has a direct strong impact on the level of its economic development. A nonlinear form of the simulated dependence shows that there will come a time of marginal return on the use of human capital.