EDUCATION AS A PRECONTION OF HUMAN CAPITAL

The aim of this paper is to identify problems related to the education process, and to create the conditions for the formation of human capital and its impact on the functioning of the labor market in the knowledge-based economy in Slovakia, as well as in the wider European market space. In this article we use analysis of education expenditures on the basis of indicators comparing the state of education systems in selected OECD countries, including Slovakia. The Slovak Republic in the framework of the OECD countries spent on education significantly less resources than the OECD average. This is the result of consolidation of public finances in times of crisis. Another problem is also the Slovak education system which is underfunded and the issue of demotivation of teachers, too. One cause of the demotivation can be the low salaries. In order to enhance competitiveness and support employment in the most productive parts of the Slovak economy, it is vital to overcome the critical point and gradually to increase the expenditures on education at all educational levels.