According to Proponents of Human Capital Theory, Education

question 175

Multiple Choice

According to proponents of human capital theory, education

• A) increases a worker's productivity.
• B) identifies more productive workers for employers, but does not directly increase productivity.
• C) should result in all workers with college degrees earning more than all workers who hold only high school diplomas.
• D) is an investment with primarily higher returns and lower risks than those available through investments in physical or financial capital.

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Definitions:

Trust Indenture Act

A U.S. federal law that imposes standards and regulations for the issuance of corporate bonds and debentures.

Sarbanes-Oxley Act

A U.S. law enacted in 2002 to protect investors from the possibility of fraudulent accounting activities by corporations.

Audit Committee

A subset of a company's board of directors that oversees financial reporting and disclosure.

Proxy Solicitation

The process of collecting proxies from shareholders so that votes can be cast on behalf of those unable to attend the shareholders' meeting in person.