THE IMPACT OF DEMOGRAPHIC TRENDS IN THE FEDERATION OF BOSNIA AND HERZEGOVINA ON HIGHER EDUCATION, LABOUR MARKET EFFICIENCY AND INNOVATION

Abstract: Th e demographic changes and trends notable in the Balkan countries hit Bosnia and Herzegovina as well. Migration of the population is the result of economic stagnation and living standards far below the EU average. For this reason, the number of the workingage population seeking to move to Western Europe countries  is raising. Th e fi rst aim of the research is to predict the demographic trends expected by the year 2050, using demographic data from the last thirteen years. In addition to this, the aim is to analyze how demographic changes aff ect higher education and training, labor market effi ciency, and innovation. Comparing these variables with population trends, this paper identifi es if there is a correlation between them. Th e research is based on hypothesis that there is a correlation between the country’s competitiveness pillars and demographic trends. Th e hypotesis is tested using statistical methods. Current demographic trends, along with other factors, have an  impact on the weakening of the competitiveness of Bosnia and Herzegovina. One of the reasons could be that demographic changes are mainly related to the young and working-age population, as valuable human capital of the country.

 

Key words: demographic trends, intellectual capital, competitiveness