Differentiation between physical capital and human capital.
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Answer:
Physical capital implies the non-human assets of the company, such as plant and machinery, tools and equipment, office supplies etc. that help in the process of production. Human capital refers to stock of knowledge, talent, skills and abilities brought in by the employee, to the organization.
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Explanation:
physical capital is divided into three categories:-
1). fixed capital
2).working capital
3).human capital
defination of physical capital is variety of input at every stage like tools, raw materials, etc .
defination of human capital is knowledge and enterprise required to put together land , labour and physical capital to produce an output.Human capital is also known as human resources.
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