Question : Which type of capital is considered the most crucial for sustained economic growth?
Option 1: Financial capital
Option 2: Physical capital
Option 3: Natural capital
Option 4: Human capital
Correct Answer: Human capital
Solution : While all forms of capital, including financial capital, physical capital, and natural capital, are important for economic growth, human capital is often considered the most critical factor. Human capital encompasses the knowledge, skills, education, and health of individuals, which directly contribute to their productivity and ability to innovate. A skilled and educated workforce can drive technological advancements, improve productivity, and foster innovation, leading to sustained economic growth over the long term. Investments in human capital, such as education, training, and healthcare, are vital for enhancing the capabilities of individuals and promoting economic development.
Question : Human capital refers to:
Option 1: Physical capital used in production
Option 2: Financial capital used in production
Option 3: Skills, knowledge, and education of the workforce
Option 4: Natural resources used in production
Question : Which type of capital is completely mobile between countries?
Option 1: Human Capital
Option 2: Physical Capital
Option 3: Both are correct
Option 4: None of the above
Question : The "cost of healthcare" is an example of:
Option 1: Social capital
Option 3: Human capital
Option 4: Financial capital
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