Question
Consider the following Statements. Assertion (A):
Human Capital can be considered superior to other forms of resources like physical Capital. Reason (R): Human Capital makes the Physical Capital useful. Choose the correct answer using the options given below:Solution
Not only do the more educated and the healthier people gain through higher incomes, society also gains in other indirect ways because the advantages of a more educated or a healthier population spreads to those also who themselves were not directly educated or given health care. In fact, human capital is in one way superior to other resources like land and physical capital: human resource can make use of land and capital. Land and capital cannot become useful on its own! Hence, both A and R are individually correct and R explains the A clearly.
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