Hello Aspirant

Breaking Down the Terms:

• Human Capital: The skills, knowledge, and abilities that people possess.
• Human Development: The process of expanding people's choices and capabilities.

Analyzing the Assertion and Reason:

• Assertion: This statement is true . Human capital and human development are indeed complementary. Investments in human capital (like education and healthcare) can lead to increased human development (such as improved health, education, and living standards).
• Reason: This statement is also true , but it's not a direct explanation of the assertion. While expenditure on complementary goods can enhance overall utility, the reason for the complementarity between human capital and human development is more nuanced.

The Relationship Between Human Capital and Human Development:

• Interdependence: Investments in human capital (education, healthcare) directly contribute to human development. For example, a well-educated population can make better health decisions and participate more fully in the economy.
• Synergy: The combined effect of investments in human capital can be greater than the sum of their individual effects. For instance, a healthy and educated population can lead to increased productivity and innovation.

Both the assertion and reason are true, but the reason does not directly explain the assertion. The complementarity between human capital and human development is a more complex relationship based on interdependence and synergy.