Question

Pls someone answer my question what is the limitations of human capital formation? Not human capital theory ok

Answer 1

Answer:

Limitations of Human capital formation

• The term Human Capital Formation refers to the “Process of acquiring and increasing the number of persons who have the skills, education and experience which are critical for the economic and political development of the country.
• Human Capital Formation is thus associated with investment in man and his development as a creative and productive resource.
• The major problems in human capital formulation in the developing countries .

1. Rapidly growing population.
2. Mounting unemployment in the modern sector of the economy as well as widespread underemployment in traditional agriculture.
3. Shortage of persons with the critical skills and knowledge required for effective national development.
4. Inadequate or underdeveloped organizations and institutions for mobilizing human effort.
5. Lack of incentives for people to engage in particular activities which are vitally important for national development.