INVESTMENT IN HUMAN CAPITAL A NECESSARY CONDITION FOR ECONOMIC DEVELOPMENT (A CASE OF IMO STATE)

Abstract

This work is based on the investment in Human capital as a necessary condition for economic development. The main objective is to know the extent at which education has gone in producing and developing out abundant potential human resources. The study made use of questionnaires basically on man-power, with it’s effect on ministry government and entire state. A conclusion and recommendation was than made in terms to enhance man-power in terms of investment.

 TABLE OF CONTENT

Title page

Certification page                                             ii

Dedication                                                      iii

Acknowledgement                                            iv

Abstract                                                         v

Table of content                                              vi

CHAPTER ONE

1.0. Introduction                                             1

1.1. Background of study

1.2. Statement of the problem

1.3  objective of the study

1.4  research questions

1.5. Significance of the study

1.6  Scope of the study

1.7  limitation of the study

1.8  Definitions of terms

CHAPTER TWO

2.0  Literature Review

2.1  Introduction

2.2  Policies that facilitate economic development

2.3  Effect of investment in human capital

2.4  Problems of investment in human capital

2.5  Importance of investment in human resources

2.6  Education as a means of developing human capital

2.7  Summary of literature review

       References

CHAPTER THREE

• Research design and methodology

3.1. Introduction

3.2  Research design  

3.3. Sources/methods of data collection

3.4. Population and sample size

3.5. Sampling size technique

3.6. Validity and reliability of measuring instrument

3.7. Method of data analysis

CHAPTER FOUR

4.0. Presentation and analysis of data

4.1. Introduction

4.2. Presentation of data

4.3. Analysis of data

4.4. Interpretation of result

CHAPTER FIVE

5.0. Summary, recommendation and conclusion

5.1. Introduction

5.2  Summary

5.3  Conclusion

5.4  Recommendations

       References

       Appendix  

       Questionnaire

CHAPTER ONE

1.0. INTRODUCTION

1.1  BACKGROUND OF THE STUDY

According to Cullson (1983), investment in human capital has been with us. It is the other, in other to improve in whatever they do in their different occupations and things they do through education on the job training study programmes to mention a few.

According to classical economist, investment in human capital refers to those expenditures made to man in other to increase his skills expenditure made to knowledge and education so that he would be resourceful. This goes ahead to many individuals that have certain capacities or skills of physical, social or psychological nature, with which they earn a living. It has also been observed that the level of skills possessed by an individual is partly determined by genetic inheritances and partly acquired from the family, friends, formal education.

Indeed, investment in human capital is seen as prerequisite for economies development of any nation or state. This is a view of the fact that a certain reasonable magnitude together and produce a reasonable quality of output.

According to the development economist, the quality and quantity of human and natural resources available in a given nation, it determines the level economic development to be attained in the nation. Prior to the political dependency, it had been widely recognized that man power problems, such as shortage of managerial skills were among the serious constraints in development efforts. Over the years, there have been concentrated efforts in a material and physical investment as a necessary tool for economic development, this phase investment focused on machines, plants, factories building, etc as a pre-requisite of economic development, it encourages the importation of sophisticated machine, gadgets and technological equipment truly available statistics has shown that the continued investment in material capacity has not represented the continued.

Indeed positively to the much expected rapid development in Nigeria, economy has not occurred as a result of the fact that less effort have been made on the improvement of the skill of those who operate the machine and coordinate the activities of others.

Since economic concept is a broad concept, there could be development as per increase in the standard of living, rate of production, culturally, socially, politically and physically. Now developed then of course there will be increase in gross national product (GNP) when mentioned in national income (NI) at the point there could be investment in human capital which would facilitate economic development.

The vital role which education plays the national development of Nigeria and other third world countries cannot be over-emphasized. In recent times, there had been a great significant expansion of educational system at all levels in Nigeria, with a view to meeting up with the challenges of national development with reference to Imo state, which has education as her large industry. By virtue of this, the Imo state ministry of education has been getting the largest share of the state’s annual budget. This is sequel to the fact that Imo state appreciates, that education via investment in human capital, plays an effects economic development.

Hence, it serves as a per-requisites for economic development of a given  state or nation. In point of fact, according to the national development plan (1970), education has been powerful and instrumental to social changes in the process of dynamic nation-building. In view of this, the federal government of Nigeria is making it a necessary priority to give equal and opportunity to everyone, in order to develop the intellectual and working capacities of the people of the nation. Now, an important question arises, what kind of education should Nigeria adopt as to achieving her national objectives and development and at the same time ensure a high, contribution of human capital towards national development? Also have Nigeria benefited enough from the input of her human resources,, based on the types of education they have received? Therefore, the concept of education, as a process, attaches high premium to human skills as a factor of production in the development process, the process of improvement in finance national wealth and physical plan. In the absence of human capital, our national resources, which are the free gift of human capital, our natural resources which are the free or over-utilize as a result of deficiency in basic skill knowledge, experience, etc then, the economic effect of which have been that the production capacity in terms of gross domestic product (GDP) of our country would have been low, little or no growth rate, understanding of living low per capital income (LPCL) which will in turn, lead to backward economy.