Human Capital and Income (3.9A)

Front

What is human capital?

Back

Human capital refers to the knowledge, skills, education, and talents that people bring to their work.

Front

What is income?

Back

Income is the money that a person earns from work or investments.

Front

What factors can affect how much a worker gets paid?

Back

Factors include special skills, years of experience, and the number of hours worked.

Front

Which factor does NOT affect a carpenter's pay?

Back

The kind of car the carpenter drives.

Front

How can a babysitter increase her human capital?

Back

By attending a class to improve her babysitting skills.

Front

What is an example of exchanging human capital for income?

Back

Walking a neighbor's dog for $1.

Front

What is NOT an example of exchanging human capital for income?

Back

Receiving $5 from your grandmother for your birthday.

Front

If Lashea earns $1 an hour, how many hours does he need to work to earn $24?

Back

Lashea needs to work 24 hours.

Front

If Joseph earns $3 an hour, how many hours does he need to work to earn $24?

Back

Joseph needs to work 8 hours.

Front

What is the relationship between human capital and income?

Back

Higher human capital often leads to higher income.