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Econ Videos 79 videos

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Econ: What is Human Capital? 3 Views


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Description:

What is Human Capital? Human capital refers to the ascribing of a return on investment calculation of an employee’s skills sets, experience, and other abilities, which may or may not be tangible, but can be quantified as contributing to a company’s bottom line.

Language:
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Transcript

00:00

And finance Allah shmoop What is human capital Oh well

00:07

for firms or companies or businesses you know Capitol the

00:11

material stuff that financial investors or capital issues You know

00:16

in the long run to make a factors of production

00:19

In order to make money like that tractor smelting factory

00:22

or buying a whole bunch of property Teo grow lucky

00:25

charms on and then sell them in boxes for a

00:27

big profit right It's patents and all that kind of

00:29

stuff That's just capital that's non human capital The missing

00:32

ingredient to this capital pie Yes human capital That's what

00:36

we're talking about here Somebody's got to tell these machines

00:39

what to dio for now at least until a I

00:42

and robots replace us well Human capital is the value

00:45

that workers can bring to their employers It's the economic

00:48

value potential a worker has given all their knowledge their

00:51

experience and their particular skill set above and beyond what

00:54

a machine could do to replace him for free Well

00:56

different jobs require different kinds of human capital Restaurant servers

01:00

need to be able to hold inordinate amounts of plates

01:03

on their arms while you know putting on a smile

01:05

Data analyst need to know lots about math and know

01:08

how to use spreadsheets and interpret all this weird stuff

01:11

Are these numbers construction workers need to know howto work

01:14

the equipment pour concrete and whistle crudely yet well hot

01:18

looking people passing by the site Middle school teachers need

01:21

to be part teacher part baby sitter and particle disciplinarians

01:25

depending on which ones you asked Everyone who has a

01:28

job is in some way using their human capital which

01:31

contributes to their employer into the economy as a whole

01:34

Human capital isn't fixed not as in it was broken

01:38

With Mohr Education comes more human capital right If people

01:41

are underemployed meaning there overqualified for the job it means

01:46

there's human capital being left on the table unused like

01:49

a phD being a sex worker something like that Or

01:53

for instance a train JJ neuroscientist who's working as a

01:57

sandwich artist at subway well has a lot of human

01:59

capital that's not being utilized resulting in a loss of

02:02

value for the economy Albeit Cem expertly assembled tuna wraps

02:06

Well the interesting thing about human capital is well how

02:09

it relates to technology It's a frenemy like friend and

02:12

enemy As our human capitals grown as a society so

02:15

too has our technology and certainly our capability of deploying

02:19

it Advanced human capital has allowed us to create all

02:21

kinds of crazy advanced tech And yet now technology is

02:25

beginning to replace the need for human capital from flipping

02:28

burgers and driving cars to creating music and writing news

02:31

articles It's increasingly common that robots we've made are replacing

02:35

the need for us their makers Human capital is being

02:38

replaced by capitalist with technological capital which makes sense if

02:44

they could do the job right Robots aren't late toe

02:46

work They don't ate their bosses They don't spit on

02:49

the food and they don't shed hair and skin all

02:52

over the place It makes sense for the trend of

02:54

technological capital to continue replacing human capital If the pros

02:58

outweigh the cons right well that's problem since workers need

03:02

human capital in orderto work Otherwise they've got nothing to

03:05

offer the economy and they can't get a job And

03:08

if a lot of people can't get jobs a lot

03:09

of people won't be spending money which I would kind

03:11

of put a damper on the economy If all else

03:13

fails Maybe the robots will just take care of the

03:15

problem for us How about that You know one way 00:03:18.548 --> [endTime] or another

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