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Explain one way in which hiring an additional worker could lead to an increase in human capital.

A. Hiring an additional worker could lead to an increase in human capital if the firm is able to make a profit from the productivity of the new worker.

B. Hiring an additional worker could lead to an increase in human capital if the worker produces more output per number of labor hours worked than other workers.

C. Hiring an additional worker alone will lead to an increase in human capital.

D. Hiring an additional worker could lead to an increase in human capital if the worker brings new skills and experience that can be taught to other workers.

Answer :

Final answer:

Hiring an additional worker can increase human capital through increased productivity and the transfer of skills to other workers.


Explanation:

Hiring an additional worker could lead to an increase in human capital if the firm were able to make a profit from the productivity of the new worker. For example, if the new worker's skills and expertise enable the company to expand and generate more revenue, it would enhance the company's human capital.

In addition, hiring an additional worker could result in an increase in human capital if the worker were to bring new skills and experience that can be taught to other workers. This would contribute to the overall knowledge and skill level within the organization.

However, it is important to note that hiring an additional worker alone does not automatically lead to an increase in human capital. It is the combination of the worker's productivity, skills, and ability to contribute to the development of others that determines the impact on human capital.


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