Human Capital

Filed Under:
Dictionary Says

Definition of 'Human Capital'

A measure of the economic value of an employee's skill set. This measure builds on the basic production input of labor measure where all labor is thought to be equal. The concept of human capital recognizes that not all labor is equal and that the quality of employees can be improved by investing in them. The education, experience and abilities of an employee have an economic value for employers and for the economy as a whole.
Investopedia Says

Investopedia explains 'Human Capital'

Economist Theodore Schultz invented the term in the 1960s to reflect the value of our human capacities. He believed human capital was like any other type of capital; it could be invested in through education, training and enhanced benefits that will lead to an improvement in the quality and level of production.

Articles Of Interest

  1. What You Need To Know About The Employment Report

  2. Human Capital: The Most Overlooked Asset Class

  3. Intangible Assets Provide Real Value To Stocks

  4. The Nash Equilibrium

    Nash Equilibrium is a key concept of game theory, which helps explain how people and groups approach complex decisions. Named after renowned mathematician John Nash, the idea of Nash Equilibrium ...
  5. The Basics Of A Financial Analysis Report

  6. How Education And Training Affect The Economy

  7. Viewing The Market As Organized Chaos

  8. Qualitative Analysis: What Makes A Company Great?

  9. Evaluate Your Investments With SWOT Analysis

  10. What It Really Takes To Succeed In Business

comments powered by Disqus
Hot Definitions
  1. Dangling Debit

  2. Cabinet Crowd

  3. Backdating

  4. Abnormal Spoilage

  5. "Just Say No" Defense

  6. Zaraba Method

Trading Center