What are the problems with human capital formation in the least developed countries? A country which has developed the skills and knowledge of its people can exploit natural resources, build social economic and political organizations and can carry forward national development. I have also a hub Please visit my hub and give your important suggestion or commend.............. https://discover.hubpages.com/education/Role-of-Ta... Joffre Meyer from Tyler, TX on July 17, 2011: Really good article. According to some economists, higher growth of population is an obstacle in the path of economic development. It has been observed that foreign qualified teachers and doctors are appointed in rural areas, where there is little use for them. Importance of human capital: Human capital is the fundamental source of economic growth. They are to be combined with human resources of a country who are active facture of economic development. A positive example is that the government of Pakistan has taken a number of steps to increase employment opportunities in the country, such as the establishment of the SME Bank for the promotion of self-employment at the grass roots level. Neglect of agriculture education: In LDCs where agriculture is the main sector of the economy, very little attention is paid to educating the farmers on how to use modern agricultural practices. There is also a change in social climate of the people. A PROJECT WORK ON TRAINING AND DEVOLOPMENT WITH REFERENCE TO “APCPDCL” The thesis report submitted on the partial fulfillment of the requirement for the award of MASTER OF BUSINESS ADMINISTRATION. Human capital affects economic growth and can help to develop an economy by expanding the knowledge and skills of … Another problem related to investment in education is that in the public and private sectors there is a mushroom growth of universities without trying to improve their standard of education. We use cookies to give you the best experience possible. (ii) Rise in Marginal Efficiency of Capital: Human capital is now regarded as the most potent source of economic growth. Human capital is the quality of labour: one of four factors of production. (i) Faster increase in population: The population of almost all developing countries of world including Pakistan is increasing faster than rate of accumulation of human capital. Importance of human capital: Human capital is the fundamental source of economic growth. Section 3 turns to the central issue of how to promote economic growth in Africa and the role of human capital in that process. The result is that the efficiency of the workers and the knowledge held by the workers causes a growth in human capital. It is a huge loss to resources of developing countries. The surplus manpower is better mobilized and utilized for economic development. It is also defined as: “The endowment of abilities to produce that exists in each human being. Akinwale Oluwasegun Hafeez on May 03, 2012: Nice paper work, u jst induced my interest in Human Resource Economics, Nice information,as the saying goes "information is power". Section 2 provides an assessment of Africa’s human development in the context of other developing regions. which is called investment in Man' or Human Capital Formation. Investing in human capital, particularly in education is essential for sustainable economic development. To answer these questions, we must broaden our understanding of human capital. If proper investment is made in health, nutrition drinking water etc. Country 's literacy rate our understanding of the workers and the supply of different types skills! Talented and high performing employees returning to this article is fantastic we use to! ( ii ) Rise in Marginal efficiency of the workers is of the people and quality of population is educational. 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