The economical efficiency of private investments in higher education in Russia

Abstract

The article investigates the economical efficiency of investments in higher education in modern conditions of Russia. The beginning of the article includes a characteristic of the existing empiric research concerning the efficiency of investments in human capital assets. Further the author of the article introduces the results of pay off calculation of private investments in higher education. The result of the research was that in modern conditions of Russia investments in higher education are exceedingly advantageous. High norms of higher education feedback and short period of pay off of these investments explain the reasons of continuously growing demand for it on the part of the population, especially young people. The article proves that the level of population education in Russia is quite high, however accumulated human capital asset is used insufficiently effective. Many people with higher education are forced to take jobs not requiring higher education. Sharp shift in educational behavior of Russian people raises new demands to labor market. Graduates of higher educational institutions, appearing on a labor market, form qualitatively different demands towards it. But tempo of Russian economics development today can not provide job positions for all graduates of higher educational institutions. That is why structural change of economics is needed.