ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Investment in education is considered as one of the main sources of human capital. There are several other sources as well. Investments in health, on-the-job training, migration and information are the other sources of human capital formation.

Detailed explanation-2: -The concept of human capital investment is mainly investment done by a firm or an individual on education/training and to expect a return of that investment in terms of revenue/capital. Human capital consists of three main components: ability, earlier education, and knowledge gained by training on job premises.

Detailed explanation-3: -The role of education in human capital formation are as follows: An educated society facilitate better development program than an illiterate one. Education improves productivity and prosperity, and also improve enriched life experience.

Detailed explanation-4: -Hence, expenditure on education and health are important sources of human capital formation.

Detailed explanation-5: -Investment in Education. The most powerful way to improve and expand the fruitful workforce in the state is by nourishing and building up the education system. Investment in Health. Migration. On-the-job Training- Investment in Information: All the detailed information. Solved Questions.