Question

list the similarities and dissimilarities between human and physical capital

Answer 1

Human capital is the stock of skills and expertise of a nation at a point in time. While, physical capital refers to the stock of tangible assets that are used in the production process such as buildings, machinery,etc.

Human capital and physical capital are similar because of the fact that the development of both human capital and physical capital require an initial amount of investment, for example, to acquire human capital we spend on education, training, etc. Similarly, we need to spend money in order to possess physical capital. In addition to this, both contribute to the growth and development of a country.