The Concept Of Human Capital Economics Essay.
This inquiry into the intersection of health and poverty reveals how the disparate views of the “causes of poverty” (as described by Schiller), have resulted in a startling loss of human capital, and resistance toward a modernized, sustainable approach to health care coverage in the United States.In other words, human capital refers to the productive capacities of human beings as income producing agents in the economy. Capital is a stock which has value as a source of current and future flow of output and income. ADVERTISEMENTS: Human capital is the stock of skills and productive knowledge embodied in people.Human Capital, also known as Human Resource is the backbone of any nation. These human resources mainly consist of students who gradually turn into accountants, engineers or doctors. These students depending on their efficiency and capability become a Human Assets. Let us look at the sources of Human Capital.
The concept human capital refers to the abilities and skill of human resources of a country (Adamu,2000), while human capital formation refers to the process of acquiring and increasing the number of persons who have the skills, education and experiences that are crucial for the economic growth and political development of a country (Okojie,1995).To empirically model the relationship between human capital development and poverty reduction, the two-way interactive model is used to examine the impact of the interaction of human capital development on poverty reduction when public investment in education and health are below or above the global benchmark in selected OPEC member countries.
Today, human capital theory is often further dissected in order to quantify components known as “intangibles” such as cultural capital, social capital, and intellectual capital. Cultural Capital Cultural capital is the combination of knowledge and intellectual skills that enhance a person’s ability to achieve a higher social status or to do economically useful work.
