Human development in the European union and its determinants

Abstract

Human development is one of the most important forms of development, which could enhance the sustainable development process. Through this paper, the evolution of human development index in the European Union was analysed in the period 2010-2017, and the effects exercised by its determinants were estimated. In this context, panel data was used for the period specified above and the Estimated Generalized Least Squares were applied, weighted with the Period SUR option. The results show an inverse relantionship between two variables (early leavers from education and training rate, and employment in agriculture) and the human development index. In addition, human development increases not only when the corruption dimension falls down, but also when life expectancy and gross fixed capital formation increase.