How is Health a Source of Human Capital Formation?

By BYJU'S Exam Prep

Updated on: November 9th, 2023

Health is a Source of Human Capital formation because a healthy person will always be more productive and contribute to the nation than an unhealthy person. Spending on health will directly provide the country with a healthy workforce. Health is an inalienable human right, according to the Universal Declaration of Human Rights. People can reach their full potential when they are in good health because healthy children learn better and workers are more productive.

Health as a Source of Human Capital Formation

The following are some reasons why having good health is crucial for developing human capital.

  • Only someone who is in good health can work with utmost dedication.
  • A healthy person works more efficiently.
  • A healthy person can contribute to the expansion and development of the economy by performing valuable jobs.
  • Good health is required to realize one’s well-being. Given the importance of health, the government prioritized population health improvement.

What is the Role of Health in Human Capital Formation?

The roles of health in the creation of human capital are as follows:

  • Only a healthy person can work efficiently and effectively.
  • A healthy person can work more productively and thus contribute more to the development of the country’s economy.
  • A sick employee becomes a liability for the company.
  • A healthy person can do his or her job properly and efficiently.
  • A healthy person contributes more to society than an unhealthy person.
  • It raises our standard of living.

Only that person can be counted as healthy, who is using all his senses properly. An unhealthy person can be defined as not fit as per their mental health or physical health. Any body-related issue will be called an unhealthy person.


How is Health a Source of Human Capital Formation?

Health is the source of human capital formation because an unhealthy person cannot contribute in the same way that a healthy person can. A healthy person will be more productive than others and will contribute to the nation’s development.

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