კონფერენცია

∘ Lasha Kelikhashvili ∘
EDUCATION AS THE CAUSATIVE FACTOR OF SOCIAL INEQUALITY

Summary

Social inequality and its reasons is very actual for economic science. There is not country with market economy and absolutely equal society but income and wealth is distributed more unequally in some societies than in another. While this problem is more actual in some countries, decreasing it is one of the key issue for policymakers in every country and Georgia is not an exemption. Economic theory indicates several factors causing inequality. Main factor is the unequal allocation of resources among the society members. This research focuses on social inequality as the problem causing the slowing down of economic growth. For this purpose, the level of the social inequality is considered as the function of human capital.

The first goal of the research is to define the situation in Georgia in terms of social inequality and human capital relative to East European countries.

Another goal of the research is to measure the relationship between social inequality and human capital, as the long term determinant of social inequality.

The research takes GDP per capita into account during the analysis as another factor of inequality and as a result of high economic growth at the same time. Several statistical methods are incorporated into the analysis to measure the relationship between economic variables in numbers.

Ivane Javakhishvili Tbilisi State University Paata Gugushvili Institute of Economics International Scientific C O N F E R E N C E S "ECONOMY – XXI CENTURY"

E ISSN 2587 - 4691	∘ Lasha Kelikhashvili ∘ EDUCATION AS THE CAUSATIVE FACTOR OF SOCIAL INEQUALITY Summary Social inequality and its reasons is very actual for economic science. There is not country with market economy and absolutely equal society but income and wealth is distributed more unequally in some societies than in another. While this problem is more actual in some countries, decreasing it is one of the key issue for policymakers in every country and Georgia is not an exemption. Economic theory indicates several factors causing inequality. Main factor is the unequal allocation of resources among the society members. This research focuses on social inequality as the problem causing the slowing down of economic growth. For this purpose, the level of the social inequality is considered as the function of human capital. The first goal of the research is to define the situation in Georgia in terms of social inequality and human capital relative to East European countries. Another goal of the research is to measure the relationship between social inequality and human capital, as the long term determinant of social inequality. The research takes GDP per capita into account during the analysis as another factor of inequality and as a result of high economic growth at the same time. Several statistical methods are incorporated into the analysis to measure the relationship between economic variables in numbers.