Income inequality as barriers of human capital development in Poland Cover Image

Nierówności dochodowe jako bariery rozwoju kapitału ludzkiego w Polsce
Income inequality as barriers of human capital development in Poland

Author(s): Jakub Bartak
Subject(s): Micro-Economics, Socio-Economic Research
Published by: Wydawnictwo Uniwersytetu Rzeszowskiego
Keywords: income inequalities; human capital; education

Summary/Abstract: The aim of this article is to diagnose the importance of income inequality for human capitalaccumulation in Poland. Theoretical considerations were based on the Galor and Zeira model ofeconomic development which suggests that in the conditions of high income inequality and creditconstraints investments in human capital are difficult due to the relatively low investment opportunitiesof the numerous poor. On the basis of literature review this article presents evidence to therecognition of income inequality as a cause of suboptimal educational investments in Poland. Thefocus was placed on the evidence of investment obstacles that poor social groups face. The articlealso points to the growing problem of educational horizontal inequalities, which in the process ofhigher education massification replace vertical educational inequalities. Such inequalities indicatebarriers for the poor to achieve high quality education. On this basis it was concluded that the reductionof income inequality in Poland should contribute to the development of human capital.Finally, the article focuses on the positive consequences of income inequality for the accumulationof human capital manifested in a sphere of motivation. A certain level of income inequalityseems to be necessary to trigger educational efforts. Yet, on the basis of current research it is impossibleto identify characteristics of income inequalities which provide effective incentives for humancapital investments. Therefore, further research in this area is needed.

  • Issue Year: 2017
  • Issue No: 51
  • Page Range: 181-190
  • Page Count: 10
  • Language: Polish
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