Answer :
Final answer:
Capital deepening is accurately defined as an increase in capital per worker, which can include both human and physical capital. This concept is integral to understanding productivity and economic growth. Thus, the statement in the question is True.
Explanation:
Understanding Capital Deepening
Capital deepening refers to an increase in the amount of capital per worker in an economy. More specifically, it involves enhancing either human capital or physical capital per worker. For instance, when workers receive additional education or training, this enhances their skills, representing an increase in human capital.
Similarly, if a company invests in more machinery or technology for its employees to use, this is an example of increasing physical capital. As a result, both forms of capital deepening contribute to greater productivity and can lead to economic growth.
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