What is the role of health in human capital formation?
Health is an important component of human capital, as it directly impacts an individual’s ability to work and contribute to the economy. Good health allows individuals to be productive and participate in the labor force, which can increase their earning potential and competitiveness in the job market.
Investing in health can also have positive spillover effects on other areas of an individual’s life, such as improved mental well-being, better educational outcomes, and increased social engagement. In turn, this can lead to higher economic growth and improved quality of life for the population as a whole.
Moreover, a healthy population can also lead to reduced healthcare costs, increased tax revenue, and a more stable workforce, which can have a positive impact on a country’s economy. Therefore, promoting health and wellness through access to quality healthcare, healthy lifestyle choices, and preventive measures is an important aspect of human capital formation.
Also, read How is human resource different from other resources like land and physical capital?
Photo by Cytonn Photography on Unsplash