Worksheet Solutions: Human Capital Formation in India-2 | Economics Class 12 - Commerce PDF Download

Section 1: Fill in the Blanks 

Q1: Human capital includes ______, ______, and knowledge.
Ans: skills, abilities
Human capital encompasses a range of attributes and resources that individuals possess, including skills and abilities, which are developed through education, training, and experience. Knowledge is also a crucial component of human capital, representing the understanding and awareness that individuals acquire.

Q2: The process of increasing the stock of human capital over time is known as ______.
Ans: human capital formation
Human capital formation refers to the process of enhancing and increasing the stock of human capital within a society or economy. This involves investments in education, training, healthcare, and other measures that contribute to the development and improvement of human skills, knowledge, and capabilities.

Q3: ______ and ______ are fundamental human rights essential for human development.
Ans: Education, health
Education and health are fundamental human rights that are crucial for human development and well-being. Access to quality education and healthcare are essential for individuals to lead fulfilling lives and participate actively in society.

Q4: Migration involves movement of people across ______ and ______ borders.
Ans: political, administrative
Migration involves the movement of people across political and administrative borders, whether within a country or between different countries. It can be driven by various factors, including economic opportunities, seeking asylum, family reunification, or other social reasons.

Q5: AICTE stands for ______.
Ans: All India Council for Technical Education
AICTE stands for the All India Council for Technical Education, which is a statutory body in India responsible for the regulation and accreditation of technical education institutions and programs.

Q6: Physical capital includes ______, ______, and equipment.
Ans: machinery, buildings
Physical capital refers to tangible assets used in production and includes machinery, buildings, equipment, and infrastructure. These assets are essential for economic productivity and development.

Q7: Education plays a vital role in producing ______ citizens.
Ans: responsible
Education plays a crucial role in shaping responsible citizens by providing knowledge, values, and skills necessary for active participation in society, critical thinking, ethical decision-making, and contributing positively to the community and the nation.

Q8: ______ is provided to newly recruited employees to help them become familiar with the organization.
Ans: Induction training
Induction training is the process of providing orientation and training to newly recruited employees to help them become acquainted with the organization, its culture, policies, procedures, and work environment. It helps integrate new employees into the organization smoothly.

Q9: ______ is a major problem affecting human capital formation.
Ans: Brain drain
Brain drain refers to the emigration or migration of skilled, educated, and talented individuals from one country to another, often due to better opportunities, higher salaries, or improved living conditions elsewhere. Brain drain can hinder human capital formation in the home country by depleting its pool of skilled professionals.

Q10: ______ is an objective of the University Grants Commission (UG(c) of India.
Ans: Providing recognition to universities
One of the objectives of the University Grants Commission (UGC) of India is to provide recognition to universities and promote higher education by maintaining standards and ensuring the quality of education imparted by universities in the country.

Section 2: Assertion and Reason

Q1: Assertion: Education is important for economic growth.
Reason: It facilitates efficient utilization of resources within a country.
(a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.
(b) Both Assertion and Reason are true, but Reason is not the correct explanation of Assertion.
(c) Assertion is true, but the Reason is false.
(d) Both Assertion and Reason are false.
Ans: (a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.

Q2: Assertion: Migration affects the growth of the population of a region.
Reason: It involves the movement of people from one area to another.
(a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.
(b) Both Assertion and Reason are true, but Reason is not the correct explanation of Assertion.
(c) Assertion is true, but the Reason is false.
(d) Both Assertion and Reason are false.
Ans: (a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.

Q3: Assertion: Lack of on-the-job training is a problem in agriculture.
Reason: It hinders human capital formation.
(a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.
(b) Both Assertion and Reason are true, but Reason is not the correct explanation of Assertion.
(c) Assertion is true, but the Reason is false.
(d) Both Assertion and Reason are false.
Ans: (a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.

Q4: Assertion: Human capital formation raises life expectancy rates.
Reason: It improves the overall quality of life.
(a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.
(b) Both Assertion and Reason are true, but Reason is not the correct explanation of Assertion.
(c) Assertion is true, but the Reason is false.
(d) Both Assertion and Reason are false.
Ans: (a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.

Q5: Assertion: The UGC in India provides recognition to universities.
Reason: It's responsible for coordinating and maintaining standards of higher education.
(a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.
(b) Both Assertion and Reason are true, but Reason is not the correct explanation of Assertion.
(c) Assertion is true, but the Reason is false.
(d) Both Assertion and Reason are false.
Ans: (a) Both Assertion and Reason are true, and Reason is the correct explanation of Assertion.

Section 3: Very Short Answers

Q1: What is the primary aim of UGC in India?
Ans: The primary aim of the UGC in India is to coordinate, determine, and maintain standards of higher education.

Q2: Define physical capital.
Ans: Physical capital encompasses man-made items such as machinery, buildings, and equipment used in the production process.

Q3: Mention one problem related to the development of education in India.
Ans: Gender bias is a problem related to the development of education in India.

Q4: What does AICTE stand for?
Ans: AICTE stands for All India Council for Technical Education.

Q5: What is the objective of induction training?
Ans: Induction training helps newly recruited employees become familiar with the organization and their tasks.

Q6: Name one source of human capital formation related to health.
Ans: Expenditure on Health is a source of human capital formation related to health.

Q7: What is the importance of education mentioned in the text?
Ans: Education plays a vital role in producing responsible citizens and promoting cultural standards and awareness among citizens.

Q8: Define migration.
Ans: Migration refers to the movement of people from one area to another or from one country to another.

Q9: Name one problem facing human capital formation related to population.
Ans: Population growth is a problem facing human capital formation.

Q10: What does off-the-job training require from employees?
Ans: Off-the-job training requires employees to leave their workplace and concentrate their entire time on the training objectives.

Section 4: Short Answers

Q1: Explain the difference between human capital and physical capital.
Ans:

• Human capital comprises skills, abilities, knowledge, and expertise possessed by individuals.
• Physical capital includes man-made items like machinery, buildings, and equipment used in the production process.

Q2: Discuss the role of human capital formation in economic growth.
Ans:

• Increases production levels through skilled and knowledgeable workers.
• Alters emotional and physical conditions for growth, fostering innovation.
• Enhances the overall quality of life through a skilled workforce.
• Raises life expectancy rates with a focus on health and education.
• Promotes social justice and equality by providing equal opportunities.

Q3: Explain the importance of education mentioned in the text.
Ans:

• Education produces responsible citizens and promotes cultural awareness.
• Facilitates efficient resource utilization within a country.
• Enhances the development of science and technology.
• Broadens mental horizons and perspectives.
• Crucial for the development of human personality.

Q4: Discuss the problems facing human capital formation related to education.
Ans:

• Large number of illiterates.
• Inadequate vocationalization of education.
• Gender bias in access to education.
• Low rural access to education.
• Insufficient government expenditure on education.

Q5: Explain the objectives of the University Grants Commission (UG(c) in India.
Ans:

• Provide quality assurance through accreditation.
• Monitor, evaluate, and provide funding for priority areas in higher education.
• Maintain parity of certification and awards.
• Manage and develop the technical education system in India.

Q6: Describe the concept of human development.
Ans:

• Human development is based on the idea that education and health are fundamental human rights.
• People can fully realize their potential when they have access to education and health.
• Enables individuals to apply their knowledge and skills for their benefit and contribute to overall societal development.

Q7: Explain the importance of migration in the context of human capital formation.
Ans:

• Migration can contribute to human capital formation by bringing in skilled individuals from other regions or countries.
• It can enhance the diversity of skills and expertise within a nation.
• However, brain drain, where highly skilled individuals emigrate, can pose a challenge.

Q8: Discuss the future prospects for education in India.
Ans:

• Universal education is a priority to achieve 100% adult literacy.
• Promoting education for women to narrow the gender gap.
• Focus on higher education, funding, and employable skills for youth.
• Improving the standard of higher education institutions.

Section 5: Long Answers

Q1: Discuss the significance of human capital formation and human development.
Ans:

• Human capital formation involves enhancing skills, knowledge, and experience, which is vital for economic growth.
• Human development emphasizes education and health as fundamental human rights, enabling individuals to realize their potential and contribute to society.
• The combined impact of both fosters overall development, improves the quality of life, and enhances societal well-being.

Q2: Explain the challenges and solutions related to human capital formation in India.
Ans:

• Challenges: Population growth, brain drain, inadequate manpower planning, poverty, and low academic standards.
• Solutions: Effective family planning, policies to retain skilled individuals, strategic workforce planning, poverty reduction measures, and improving educational standards.

Q3: Describe the objectives and functions of the University Grants Commission (UGC) in India.
Ans:

• Objectives: Coordinating, determining, and maintaining higher education standards, providing recognition to universities, and disbursing funds to recognized institutions.
• Functions: Quality assurance through accreditation, evaluation, funding allocation, ensuring parity of certifications, and managing India's technical education system.

Q4: Discuss the importance of education in fostering economic growth and societal development.
Ans:

• Education is a cornerstone for producing a skilled workforce crucial for economic growth.
• It enhances productivity, innovation, and efficiency, contributing to a nation's competitive edge.
• Furthermore, education promotes social values, cultural awareness, and responsible citizenship, fostering a well-rounded and harmonious society.