PUBLIC POLICY AND HUMAN CAPITAL AS THE MAIN FACTOR OF SUSTAINABLE INNOVATIVE ECONOMIC DEVELOPMENT

Abstract

Public policy and human capital play an important role in supporting innovation. Public policy can support these aspects of innovation, does not always mean that public policy is the best or even appropriate vehicle for this task. Public policy intervention should take place whenever a lack of mechanisms prevents organizations themselves from developing these human resource practices for innovation. Public policy not only plays a role in this task by promoting elements of human capital, but also plays a unique role by offering organizations resources that they are unlikely to use on their own. Public policy focuses on working with organizations to help them do what they are unable to do themselves, in particular to give organizations access to high-level and impartial expertise to help them diagnose and remedy their own shortcomings.