3.9A Human Capital and Income

Front

What is a wage?

Back

A wage is income earned from work.

Front

How can Lydia increase her human capital as a babysitter?

Back

Lydia can increase her human capital by attending a class to improve her babysitting skills.

Front

What affects Lily's paycheck as a nurse?

Back

Lily's paycheck is most likely affected by the number of years she has been working as a nurse.

Front

What does human capital include?

Back

Human capital includes the knowledge, skills, education, and talent people bring to work.

Front

What is income?

Back

Income is the money that is earned for the labor that a person does.

Front

What is human capital?

Back

Human capital refers to the skills, knowledge, and experience possessed by an individual.

Front

Why is education important for human capital?

Back

Education increases a person's skills and knowledge, enhancing their human capital.

Front

What is the relationship between human capital and income?

Back

Higher human capital often leads to higher income because skilled workers can command better wages.

Front

What is an example of increasing human capital?

Back

An example of increasing human capital is taking a course to learn new skills.

Front

What is the difference between human capital and financial capital?

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Human capital refers to people's skills and knowledge, while financial capital refers to money and assets.