Question

On the basis of the given image, explain the source of human capital formation which may contribute to the economic growth in India.

Hint:

Education is the foundation of human capital formation. Every rupee spent on schooling today becomes a driver of national income growth tomorrow.

Answer 1

The image depicts young students engaged in learning activities inside a classroom. This reflects one of the most crucial sources of human capital formation — education. Education is a key component in developing human capital, as it enhances the knowledge, skills, efficiency, and productivity of individuals.

When the government invests in the education of children and youth, it is essentially investing in the future workforce of the nation. Educated individuals are more likely to:

• Engage in higher productivity activities.
• Innovate and adopt modern technologies.
• Earn higher incomes, thereby raising the standard of living.
• Contribute actively to the formal economy.

Education not only improves individual employability but also facilitates overall economic development. A literate and skilled population can lead to a more dynamic, adaptable, and competitive economy. Thus, education is both a social investment and an economic necessity.

Furthermore, as seen in the image, the focus on girl education also reflects efforts toward inclusive development. Educating girls leads to multiple socio-economic benefits, including reduced poverty, better health outcomes, and a more equitable society.