Rates of return on investment in human and physical capital

Abstract

Long-term and continuous investment in persons and their potential and then in tangible property brings positive effects on economic and social development of a country. The rates of return on investment in human capital are larger than the rates on return invested in physical capital. Macroeconomic policy of certain world country should have the priority in rising of human development level. That will, without fail in realization of development in infrastructural part, lead to larger and quicker economic development.

Keywords

• rates of return
• human capital
• physical capital
• gross domestic product
• economic development
• world countries