Human Capital Is

question 36

Multiple Choice

Human capital is

• A)an important determinant of wages, but it does not affect the production of goods and services.
• B)an important determinant of wages, and it affects the production of goods and services.
• C)a specific type of physical capital made by humans rather than machines.
• D)very different from physical capital in that physical capital represents an investment, while human capital does not represent an investment.

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Definitions:

Genetic Factors

The hereditary elements that contribute to the development of traits, behaviors, and conditions, including both the influence of individual genes and complex interactions among multiple genes.

Environmental Influence

Factors external to the individual, such as social, cultural, and physical environments, that impact behaviors, attitudes, and development.

Intelligence

The ability to acquire knowledge, think abstractly, understand complex ideas, learn from experience, adapt to new situations, and solve problems.

Cultural Disadvantages

Situations where certain populations or individuals face social, economic, or educational challenges due to cultural background or perceptions.