Creation of Human Capital is a precursor in economic growth. In light of above statement comment policy adopted by the government in this regard.
Human capital is the stock of skills that the labor force possesses. Human capital is defined in the Oxford English Dictionary as “the skills the labor force possesses and is regarded as a resource or asset.” It encompasses the notion that there are investments in people (e.g., education, training, health) and that these investments increase an individual’s productivity.
The growth of national wealth depends on its total capital which consists of physical capital, natural resources, human capital and social capital. Physical capital shares only 15-30 per cent and hence, it is important to lay more emphasis on the role of human and social capital in economic growth and development.
Government of India have long realised the interconnection between two hence have initiated number of policy measures regarding it such as,
Skill India related to education
ICDS Schemes for health
PMJBY for health