how can we say that investment in the human capital yields a rich return?
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- A large population can be turned into a productive asset by investment in education, training and health. When people reached America, land was vast and free and it badly needed manpower to cultivate it.
- Another example is Japan. Japan did not have any natural resource. The country made investments on their people especially in the fields of education and health. Ultimately, these people, after efficient use of their resources by developing new technologies, have made their country rich and developed.
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