Human capital is best defined as: group of answer choices any piece of machinery that must be combined with labor to be productive. the productive skills and knowledge that workers acquire from education and training. the exchange of money for real assets. the substitution of labor for machinery in the production process.

The correct answer is: the productive skills and knowledge that workers acquire from education and training.

Explanation:

Human capital is the intangible assets possessed by individuals or groups that can produce economic value. These assets can be education, health, intelligence, training, loyalty, punctuality, etc.

Human capital improves the productivity of physical capital by using it more efficiently. In a firm, it improves productivity and profitability. The firm though does not include it on its balance sheet. It is the economic value of the skills and experience of workers.

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