Question

explain the principal of human capital for motion for accelarating the rate of economic growth​

Answer 1

Answer:

Here is your answer

Explanation:

Human capital and economic growth have a strong correlation. Human capital affects economic growth and can help to develop an economy by expanding the knowledge and skills of its people.

Human capital refers to the knowledge, skill sets, and experience that workers have in an economy. The skills provide economic value since a knowledgeable workforce can lead to increased productivity. The concept of human capital is the realization that not everyone has the same skill sets or knowledge. Also, the quality of work can be improved by investing in people's education.

What Drives Economic Growth

Economic growth is an increase in an economy's ability, compared to past periods, to produce goods and services. Economic growth is measured by the change in the gross domestic product (GDP) of a country. GDP is a representation of the total output of goods and services for an economy. For example, if a country has a GDP rate of 2.5% for the year, it means the economic growth of the country rose by 2.5% from a year earlier. In order to determine how human capital impacts growth, we must first look at two key drivers of economic growth in an economy.

Consumer Spending

It's estimated that consumers are responsible for more than two-thirds of the economic growth in the U.S. economy.1 As consumers become employed or experience wage increases, they tend to increase their purchases of clothes, cars, technology, homes, and home goods such as appliances. All of that spending creates a positive ripple effect leading to improved employment in various industries such as retail, auto manufacturers, technology stores, and home builders, to name a few. The spending also leads to higher GDP growth throughout the economy.

Answer 2

Answer:

Human capital refers to the stock of skill, ability, expertise, education and knowledge in a nation at a point of time. We need investment in human capital to produce more human capital out of human resources.

Nations require adequate human capital who are educated and qualified as educators and other specialists. In other words, we need great human capital to create other human capital like doctors, engineers, professors, etc which later will become a human asset and contribute to the economy of the country.