Analysis of human capital level and inequality interrelation

Abstract

This article presents the results of the relationship between human capital and inequality in income distribution in European countries analysis. To test the hypothesis of research the cluster approach was applied, that allowed to divide investigated countries into 9 clusters. The study has concluded that countries with high level of human capital are characterized by a lower degree of inequality in income distribution. Correlation and regression analysis confirm the presence of feedback between the HDI and Gini index.