Question

what is the difference between human capital and physical capital?

Answer 1

Physical capital implies the non-human assets of the company, such as plant and machinery, tools and equipment, office supplies etc. that help in the process of production. Human capital refers to stock of knowledge, talent, skills and abilities brought in by the employee, to the organization.

Answer 2

Difference between human capital and physical capital:

Physical capital refers to company's those assets which are tangible in nature and contribute to the overall growth of organisation and it mainly includes money,machinery, furniture, buildings, furniture etc whereas Human capital refers to the skills, knowledge, abilities of a company's employee which help in achieving the predetermined objectives and optimizing company's performance.