Investment in Human Capital MCQs
Investment in Human Capital MCQs
Class: 11 | Subject: Economics | Section: Human Capital Formation |
Topic: Investment in Human Capital | CBSE Board Examination Preparation
Instructions: These Multiple Choice Questions (MCQs) are designed strictly as per the NCERT syllabus, making them ideal for CBSE Class 11 Board Examination preparation. Each question includes detailed explanations for concept clarity.
1. Investment in human capital refers to expenditure on:
Answer: B
Spending on education, training, and healthcare improves workforce productivity and is termed human capital investment.
Spending on education, training, and healthcare improves workforce productivity and is termed human capital investment.
2. Which of the following is a source of human capital investment?
Answer: D
Human capital is built through multiple investments that enhance knowledge, skills, and health.
Human capital is built through multiple investments that enhance knowledge, skills, and health.
3. Expenditure on education is considered investment because it:
Answer: B
Education raises skills and productivity, generating long-term returns.
Education raises skills and productivity, generating long-term returns.
4. Investment in health leads to:
Answer: C
Healthy workers perform better and contribute more to output.
Healthy workers perform better and contribute more to output.
5. On-the-job training is provided by:
Answer: B
Firms train workers to improve efficiency and productivity.
Firms train workers to improve efficiency and productivity.
6. Which is a preventive health investment?
Answer: B
Preventive healthcare avoids diseases and future productivity loss.
Preventive healthcare avoids diseases and future productivity loss.
7. Migration of skilled workers abroad is called:
Answer: B
Brain drain reduces domestic returns from human capital investment.
Brain drain reduces domestic returns from human capital investment.
8. Which sector requires maximum human capital investment?
Answer: A
Services like IT, healthcare, and education rely heavily on skilled labour.
Services like IT, healthcare, and education rely heavily on skilled labour.
9. Literacy rate indicates investment in:
Answer: B
Higher literacy reflects greater educational investment.
Higher literacy reflects greater educational investment.
10. Health expenditure improves:
Answer: A
Healthy labour produces more output efficiently.
Healthy labour produces more output efficiently.
11. Which is NOT human capital investment?
Answer: C
Factory building is physical capital investment.
Factory building is physical capital investment.
12. Mid-Day Meal Scheme supports human capital via:
Answer: B
It improves attendance and child health.
It improves attendance and child health.
13. Returns to education are seen in:
Answer: A
Skilled individuals earn higher incomes.
Skilled individuals earn higher incomes.
14. Investment in human capital promotes:
Answer: D
Human capital drives holistic development.
Human capital drives holistic development.
15. Female education investment leads to:
Answer: A
It improves nutrition, childcare, and social outcomes.
It improves nutrition, childcare, and social outcomes.
16. Higher education mainly supports:
Answer: D
Universities drive advanced human capital creation.
Universities drive advanced human capital creation.
17. Human capital investment is made by:
Answer: D
All stakeholders invest in workforce development.
All stakeholders invest in workforce development.
18. Which increases labour efficiency most?
Answer: A
Combined investment maximizes productivity.
Combined investment maximizes productivity.
19. Skill India Mission promotes:
Answer: B
It enhances employable skills.
It enhances employable skills.
20. Overall, investment in human capital results in:
Answer: D
Human capital investment drives long-term national progress.
Human capital investment drives long-term national progress.
