Showing posts with the label human capital

Should We Expect Greater Innovation in the Future?

Will we see higher levels of innovation and skill development in the future ? When entrepreneurship creates new products , it forces human capital upward as companies adapt this technology to create competitive advantages . Today 's employment market is filling vacancies quickly and may soon begin to innovate again to find greater competitive strengths . Spurts of technological advancement are followed by greater demands for market skills that raise human capital formation (Gomes, 2011). As companies adapt to new technology , they will seek to hire and train employees to use this technology. Employment expectation will adjust education and schooling to meet new job needs . As the labor market moves closer to maximum employment capacity the cost of wages rises and pushes companies to adjust their strategies to focus on new competitive strengths. Technological advancement and integration is

The Economic Value of Human Capital

Understanding how human capital is utilized in society and how that human capital is measured is important for understanding economic underpinnings.   A study by Olimpia Negu delves into comparing human capital attainment throughout 28 OECD countries and the market benefits of that capital (2012). This measurement helps to show which countries have the highest human capital development. It may also start to highlight where economic growth is most receptive. Before analysis it is important to understand what human capital actually is. Human capital is complex and hosts concepts such as biological capital, educational capital, social skills, and health capital (Neagu, 2010). The total human being and their ability to be productive in the environment entail their ability to be productive.   Laroche et. al. (1999) indicates that human capital has some generalizations: -Non-tradable good embodied in humans. -Individuals are subject to human capital decisions made by parents,

Research has yet to define the Spark of Life in the Gifted

Gifted students may have the intelligence but they also need the spark of life to make them genius masters. Joan Freeman discusses her experiences and research on the subject in her publication A Quality of Giftedness . She delves into the hard science but also discusses that science misses something very important because each gifted person finds their own path to make waves in the world; this is not easily calculated. That quality does not change as people get older even if they must focus on making money and supporting families.  Her recognition of gifted youth is often based on their novelty to answering questions and problems. Teachers are annoyed and attempt to cram these children into a pre-defined rule set that is often more beneficial for the teacher than the student. Sit down, be quiet, do this work, read this, don’t ask annoying questions may be some of the feedback they receive throughout their educational careers. It is one of the reasons why such gifted students

Using Business Incubators for Economic Development

The United States, Europe and Asia are trying to spark their economies by encouraging national development. A paper by Al-Mubaraki and Busler (2013) explores the concept of how business incubation supports diverse economies, commercialization of new technologies, improves the job market, and creates local wealth. They further discuss how local decision-makers can foster new economic activity in their regions to develop future sustainable wealth.  Business incubation is part economic and part social. The goal is to encourage start-up businesses to find economic and social footing among like minded individuals to leave them free standing and viable. It is a seeding process that eventually leads to higher levels of local innovation and growth oriented companies that further the economic and social needs of the area. It is through local development that national interests can be secured. Economic development is a process of wealth generation that takes into consideration the

Human Capital: The development of success

Human Capital Theory postulates that the more biological, psychological, creative, knowledge, social, and work skills a person develops the more successfully they are going to be in life.   The theory is often broken into intangible capital that focuses on things like social abilities and tangible capital that focuses more closely on skills and education. In many ways educational attainment and skill development are used to measure human capital. Generally, the human capital a person retains, or can develop, the more beneficial they become to the organization and society.  Human capital creates an incentive for developing employees to their highest possible skill level. By raising the human capital of an organization it is believed that the organization will become more efficient, creative and productive. The time, effort, and costs are some of the detractors associated with the developing employees. Yet those organizations that do not engage in training generally have stagnant