A(n)_____ implies an increase in human capital.
A)addition of a new machine that laborers use in production
B)increase in wealth
C)more educated labor force
D)increase in the number of schools in a country
E)increase in the quantity of the capital used by a firm

Question

Quizplus · Accepted Answer

Human capital refers to the knowledge, skills, and abilities possessed by individuals that contribute to their ability to produce goods and services. Therefore, an increase in the education and training of the labor force, such as through more education, implies an increase in human capital. Options A, B, D, and E do not necessarily indicate an increase in human capital.

A(n)_____ Implies an Increase in Human Capital