Question : What is the role of entrepreneurship in human capital formation?
Option 1: It encourages brain drain.
Option 2: It promotes skill development.
Option 3: It reduces the need for education.
Option 4: It discourages innovation.
Correct Answer: It promotes skill development.
Solution : The correct answer is (b) It promotes skill development.
Entrepreneurship involves identifying opportunities, taking risks, and creating new businesses or ventures. In the process of starting and running a business, entrepreneurs often acquire and develop a wide range of skills and knowledge.
Entrepreneurship encourages individuals to develop and enhance their skills in various areas such as leadership, decision-making, problem-solving, communication, and innovation. Entrepreneurs often seek out learning opportunities and actively engage in continuous skill development to succeed in their ventures. This process of skill development contributes to human capital formation by increasing the knowledge, capabilities, and expertise of individuals.
Question : What is the role of human capital in economic development?
Question : What is the role of education in human capital formation?
Question : Why is entrepreneurship development important?
Question : It can be defined as systematic, purposeful and creative activity of identifying a need and mobilising resources to achieve it.
Question : The important indicator of economic development is increase in GDP. As income is generated in the production, entrepreneurship generate income through organisation of production. Which need for entrepreneurship is highlighted here?
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