Human capital, sometimes called human assets, is a concept economists use to describe the personal attributes of a workforce that are useful in production, including workers' knowledge, skills, know-how, good health and education. It has a substantial effect on individual earnings, and research finds that investment in human capital during childhood and young adulthood tends to produce high economic returns. Businesses can themselves invest in human capital, for example through employee education and training, in order to raise the quality and productivity of what they produce. This description is adapted from Wikipedia contributors under CC BY-SA 4.0; changes were made. https://creativecommons.org/licenses/by-sa/4.0/
Facts
Proposed ByPopularized by Chicago School economists Gary Becker, Jacob Mincer and Theodore Schultz; the modern use of the term traces to Mincer's 1958 article 1 SignificanceHas a substantial impact on individual earnings, with research indicating that investments in human capital generate high economic returns throughout childhood and young adulthood. 1 Classification
Concept Form Connections
Associated With School
Both Schultz and Becker, the theory's founding figures, were Chicago School economists.
Source Wikipedia
Additional Source Human capital (Wikipedia)
Attributed To
Becker's Human Capital (1964) developed the theory systematically and earned him the 1992 Nobel Memorial Prize.
Source Wikipedia
Additional Source Human capital (Wikipedia)
Schultz's 1961 American Economic Review article Investment in Human Capital coined the formal term.
Source Wikipedia
Additional Source Human capital (Wikipedia)
Sources
1. Human capital (Wikipedia)
Lead section
Human capital has a substantial impact on individual earnings. Research indicates that investments in human capital generate high economic returns throughout childhood and young adulthood.
History section
The use of the term in the modern neoclassical economic literature dates back to Jacob Mincer's article "Investment in Human Capital and Personal Income Distribution" in the Journal of Political Economy in 1958.
Lead section first sentence
Human capital or human assets is a concept used by economists to designate personal attributes considered useful in the production process in business or trade.
- Attributed To: Theodore Schultz
- Attributed To: Gary Becker
- Associated With School: Chicago School
In Group: Labor Market Concepts, Lead
Human capital or human assets is a concept used by economists to designate personal attributes considered useful in the production process in business or trade.
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