This a MCQ (Multiple Choice Question) based practice test of Chapter 5 - Human Capital Formation in India of Economics of Class XI (11) for the quick revision/preparation of School Board examinations
Q The stock of skill, ability, expertise, education and knowledge in a nation at a point of time known as
Human capital is unique and differs from any other capital. It is needed for companies to achieve goals, develop and remain innovative. Human capital is the stock of habits, knowledge, social and personality attributes (including creativity) embodied in the ability to perform labour so as to produce economic value.
Source of human capital formation is
Expenditure on health is an important source of human capital formation. Health expenditure directly increases the supply of healthy labour force and is, thus, a source of human capital formation. Preventive medicine (vaccination), curative medicine (medical intervention during illness), social medicine (spread of health literacy) and provision of clean drinking water and good sanitation are the various forms of health expenditure
People as a resource means
People as Resource' is a way of referring to a country's working people in terms of their existing productive skills and abilities. Human resource is an asset for the economy rather than a liability. Population becomes human capital when there is investment made in the form of education, training and medical care.
Human capital consists of
Human capital: The collective skills, knowledge, or other intangible assets of individuals that can be used to create economic value for the individuals, their employers, or their community: Education is an investment in human capital that pays off in terms of higher productivity.entrepreneurial capabilities are distinct from other, generalized forms of human capital such as education, life experience, and experience in waged employment. learning from one's parents, if they are entrepreneurs), or learning through work experience in another firm.
A person becomes a human resource when he/she
Human resources are used to describe the people who work. They are resource to an organization or a business or is providing some kind of work or service by working, which will provide that business output and make effective and efficient.
A person only becomes human resource when he/she is willing to work, Is able to work and Belongs to particular age group.
In how many stages of education are there in India
The school system in India has four levels: lower primary (age 6 to 10), upper primary (11 and 12), high (13 to 15) and higher secondary (17 and 18).
People of which age group are treated as potential labour force
Human capital is similar to physical capital because
Physical capital consists of tangible, man-made objects that a company buys or invests in and uses to produce goods.
Human Capital includes labor and other resources that humans can provide—education, experience or unique skills—that contribute to the production process.
Human capital and physical capital accumulation are similar: In both cases, investment pays off in longer-term productivity in the future.
Problems faced by the human capital formation is
Following states have high literacy rate except
According to Census 2011, Kerala has the highest total literacy rate and female literacy rate i.e.94%.