Human Investment

Jan 04, 2021
 Human Investment
Human Investment
Jan 04, 2021

The human mind is the blessing that God has bestowed upon us from other creatures, and the optimal use of the human mind differs from one person to another and from country to another. The country that recognizes the value of the human element in advancement and progress is distinguished from other countries that rely on their natural wealth. You find these distinguished countries depend on the minds of their citizens, regardless of their simple capabilities.

Whereas the human mind has importance in development and progress. Many writers and scholars have been exposed to this important and differential point in the history of the progress of countries. Today, after the development of the world, investment in human capital is the most important type of investment to achieve real and sustainable economic growth. Therefore, human resources are considered a basic measure of the wealth of nations. Here, theories of investment in human capital confirm that there is a direct relationship between investment in training and education and the increase of the society’s income. 

Since the middle of the twentieth century, many countries were not known on the world map, and perhaps they did not exist at all, and if they existed, they had no place between countries such as Hong Kong, Singapore, and Japan and in the last quarter of the twentieth century. And, they have surprised the world by a technological and scientific revolution invading its industrial products in the global markets to become one of the largest markets in the world, and when searching for the reason, we find that they are countries that care about the human element and provide them with training and education at the highest levels.

Most of the scientific literature indicates that the human factor is one of the most important productive factors that can contribute to achieving development, but this element will not play its role without education, as education contributes to the formation of human capital. Perhaps, theories of economic growth indicate that technical progress increases the rate of long-term economic growth, and hence the rate of increase in technical progress is faster when the workforce is well educated, and the accumulation of human capital is a source of sustainable growth.


 

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