人力资本投资-舒尔茨-英文

InvestmentinHumanCapital

TheodoreW.Schultz

TheAmericanEconomicReview,Vol.51,No.1(Mar.,1961),1-17.

StableURL:

/sici?sici=0002-8282%28196103%2951%3A1%3C1%3AIIHC%3E2.0.CO%3B2-4

TheAmericanEconomicReviewiscurrentlypublishedbyAmericanEconomicAssociation.

YouruseoftheJSTORarchiveindicatesyouracceptanceofJSTOR'sTermsandConditionsofUse,availableat

/about/terms.html

.JSTOR'sTermsandConditionsofUseprovides,inpart,thatunlessyou

haveobtainedpriorpermission,youmaynotdownloadanentireissueofajournalormultiplecopiesofarticles,andyoumayusecontentintheJSTORarchiveonlyforyourpersonal,non-commercialuse.

Pleasecontactthepublisherregardinganyfurtheruseofthiswork.Publishercontactinformationmaybeobtainedat

/journals/aea.html

.

EachcopyofanypartofaJSTORtransmissionmustcontainthesamecopyrightnoticethatappearsonthescreenorprintedpageofsuchtransmission.

JSTORisanindependentnot-for-profitorganizationdedicatedtocreatingandpreservingadigitalarchiveofscholarlyjournals.FormoreinformationregardingJSTOR,pleasecontactjstor-info@.

/

WedJan1412:18:292004

TheAmericanEconomicReview

VOLUMELIMARCH1961NUMBERONE

INVESTMENTINHUMANCAPITAL*

ByTHEODOREW.SCHULTZ

Althoughitisobviousthatpeopleacquireusefulskillsandknowl-edge,itisnotobviousthattheseskillsandknowledgeareaformofcapital,thatthiscapitalisinsubstantialpartaproductofdeliberateinvestment,thatithasgrowninWesternsocietiesatamuchfasterratethanconventional(nonhuman)capital,andthatitsgrowthmaywellbethemostdistinctivefeatureoftheeconomicsystem.Ithasbeenwidelyobservedthatincreasesinnationaloutputhavebeenlargecomparedwiththeincreasesofland,man-hours,andphysicalreproduciblecapi-tal.Investmentinhumancapitalisprobablythemajorexplanationforthisdifference.

Muchofwhatwecallconsumptionconstitutesinvestmentinhu-mancapital.Directexpendituresoneducation,health,andinternalmigrationtotakeadvantageofbetterjobopportunitiesareclearexam-ples.Earningsforegonebymaturestudentsattendingschoolandbyworkersacquiringon-the-jobtrainingareequallyclearexamples.Yet

nowheredotheseenterintoournationalaccounts.Theuseofleisuretimetoimproveskillsandknowledgeiswidespreadandittooisun-recorded.Intheseandsimilarwaysthequalityofhumaneffortcanbegreatlyimprovedanditsproductivityenhanced.Ishallcontendthatsuchinvestmentinhumancapitalaccountsformostoftheimpressiveriseintherealearningsperworker.

Ishallcomment,first,onthereasonswhyeconomistshaveshiedawayfromtheexplicitanalysisofinvestmentinhumancapital,andthen,onthecapacityofsuchinvestmenttoexplainmanyapuzzleabouteco-nomicgrowth.Mainly,however,Ishallconcentrateonthescopeandsubstanceofhumancapitalanditsformation.InclosingIshallcon-sidersomesocialandpolicyimplications.

*PresidentialAddressdeliveredattheSeventy-ThirdAnnualMeetingoftheAmerican

EconomicAssociation,SaintLouis,December28,1960.Theauthorisindebtedtohiscol-leagucsMiltonFriedman,forhisveryhelpfulsuggestionstogainclarityandcogency,and

HarryG.Johnsonforpointingoutanumberofambiguities.

Number62ofaseriesofphotographsofpastpresidentsoftheAssociation.

2THEAMERICANECONOMICREVIEW

I.ShyingAwayfromInvestmentinMan

Economistshavelongknownthatpeopleareanimportantpartofthewealthofnations.Measuredbywhatlaborcontributestooutput,theproductivecapacityofhumanbeingsisnowvastlylargerthanallotherformsofwealthtakentogether.Whateconomistshavenotstressedisthesimpletruththatpeopleinvestinthemselvesandthattheseinvest-mentsareverylarge.Althougheconomistsareseldomtimidinenteringonabstractanalysisandareoftenproudofbeingimpractical,theyhavenotbeenboldincomingtogripswiththisformofinvestment.Whenevertheycomeevenclose,theyproceedgingerlyasiftheyweresteppingintodeepwater.Nodoubttherearereasonsforbeingwary.Deep-seatedmoralandphilosophicalissuesareeverpresent.Freemenarefirstandforemosttheendtobeservedbyeconomicendeavor;theyarenotpropertyormarketableassets.Andnotleast,ithasbeenalltooconvenientinmarginalproductivityanalysistotreatlaborasifitwereauniquebundleofinnateabilitiesthatarewhollyfreeofcapital.

Themerethoughtofinvestmentinhumanbeingsisoffensivetosomeamongus.¹Ourvaluesandbeliefsinhibitusfromlookinguponhumanbeingsascapitalgoods,exceptinslavery,andthisweabhor.Wearenotunaffectedbythelongstruggletoridsocietyofindenturedserviceandtoevolvepoliticalandlegalinstitutionstokeepmenfreefrombondage.Theseareachievementsthatweprizehighly.Hence,totreathumanbeingsaswealththatcanbeaugmentedbyinvestmentrunscountertodeeplyheldvalues.Itseemstoreducemanonceagaintoamerematerialcomponent,tosomethingakintoproperty.Andformantolookuponhimselfasacapitalgood,evenifitdidnotimpairhisfreedom,mayseemtodebasehim.NolessapersonthanJ.S.Millatonetimeinsistedthatthepeopleofacountryshouldnotbelookeduponaswealthbecausewealthexistedonlyforthesakeofpeople[15].ButsurelyMillwaswrong;thereisnothingintheconceptofhumanwealthcontrarytohisideathatitexistsonlyfortheadvantageofpeople.Byinvestinginthemselves,peoplecanenlargetherangeofchoiceavailabletothem.Itisonewayfreemencanenhancetheirwel-fare.

Amongthefewwhohavelookeduponhumanbeingsascapital,therearethreedistinguishednames.Thephilosopher-economistAdamSmithboldlyincludedalloftheacquiredandusefulabilitiesofalloftheinhabitantsofacountryasapartofcapital.SodidH.vonThinen,whothenwentontoarguethattheconceptofcapitalappliedtomandidnotdegradehimorimpairhisfreedomanddignity,butonthecontrarythatthefailuretoapplytheconceptwasespeciallypernicious

inwars;“...forhere...onewillsacrificeinabattleahundred

1ThisparagraphdrawsontheintroductiontomyTellerLecture[16].

SCHULTZ:INVESTMENTINHUMANCAPITAL3

humanbeingsintheprimeoftheirliveswithoutathoughtinordertosaveonegun.”Thereasonisthat,“...thepurchaseofacannoncausesanoutlayofpublicfunds,whereashumanbeingsaretobehadfornothingbymeansofamereconscriptiondecree”[20].IrvingFisheralsoclearlyandcogentlypresentedanall-inclusiveconceptofcapital[6].Yetthemainstreamofthoughthasheldthatitisneitherap-propriatenorpracticaltoapplytheconceptofcapitaltohumanbeings.Marshall[11],whosegreatprestigegoesfartoexplainwhythisviewwasaccepted,heldthatwhilehumanbeingsareincontestablycapitalfromanabstractandmathematicalpointofview,itwouldbeoutoftouchwiththemarketplacetotreatthemascapitalinpracticalanalyses.Investmentinhumanbeingshasaccordinglyseldombeenincorporatedintheformalcoreofeconomics,eventhoughmanyeconomists,includingMarshall,haveseenitsrelevanceatonepointoranotherinwhattheyhavewritten.

Thefailuretotreathumanresourcesexplicitlyasaformofcapital,asaproducedmeansofproduction,astheproductofinvestment,hasfosteredtheretentionoftheclassicalnotionoflaborasacapacitytodomanualworkrequiringlittleknowledgeandskill,acapacitywithwhich,accordingtothisnotion,laborersareendowedaboutequally.Thisnotionoflaborwaswrongintheclassicalperiodanditispatentlywrongnow.Countingindividualswhocanandwanttoworkandtreat-ingsuchacountasameasureofthequantityofaneconomicfactorisnomoremeaningfulthanitwouldbetocountthenumberofallmannerofmachinestodeterminetheireconomicimportanceeitherasastockofcapitalorasaflowofproductiveservices.

Laborershavebecomecapitalistsnotfromadiffusionoftheowner-shipofcorporationstocks,asfolklorewouldhaveit,butfromtheac-quisitionofknowledgeandskillthathaveeconomicvalue[9].Thisknowledgeandskillareingreatparttheproductofinvestmentand,combinedwithotherhumaninvestment,predominantlyaccountfortheproductivesuperiorityofthetechnicallyadvancedcountries.ToomittheminstudyingeconomicgrowthisliketryingtoexplainSovietide-ologywithoutMarx.

II.EconomicGrowthfromHumanCapital

Manyparadoxesandpuzzlesaboutourdynamic,growingeconomycanberesolvedoncehumaninvestmentistakenintoaccount.Letmebeginbysketchingsomethatareminorthoughnottrivial.

Whenfarmpeopletakenonfarmjobstheyearnsubstantiallylessthanindustrialworkersofthesamerace,age,andsex.Similarlynon-whiteurbanmalesearnmuchlessthanwhitemalesevenafterallow-anceismadefortheeffectsofdifferencesinunemployment,age,city

THEAMERICANECONOMICREVIEW

sizeandregion[21].Becausethesedifferentialsinearningscorrespondcloselytocorrespondingdifferentialsineducation,theystronglysug-gestthattheoneisaconsequenceoftheother.Negroeswhooperatefarms,whetherastenantsorasowners,earnmuchlessthanwhitesoncomparablefarms.²Fortunately,cropsandlivestockarenotvulnerabletotheblightofdiscrimination.Thelargedifferencesinearningsseemrathertoreflectmainlythedifferencesinhealthandeducation.WorkersintheSouthontheaverageearnappreciablylessthanintheNorthorWestandtheyalsohaveontheaveragelesseducation.Mostmigra-toryfarmworkersearnverylittleindeedbycomparisonwithotherworkers.Manyofthemhavevirtuallynoschooling,areinpoorhealth,areunskilled,andhavelittleabilitytodousefulwork.Tourgethatthedifferencesintheamountofhumaninvestmentmayexplainthesedifferencesinearningsseemselementary.Ofmorerecentvintageareobservationsshowingyoungerworkersatacompetitiveadvantage;forexample,youngmenenteringthelaborforcearesaidtohaveanad-vantageoverunemployedolderworkersinobtainingsatisfactoryjobs.Mostof.theseyoungpeoplepossesstwelveyearsofschool,mostoftheolderworkerssixyearsorless.Theobservedadvantageoftheseyoungerworkersmaythereforeresultnotfrominflexibilitiesinsocialsecurityorinretirementprograms,orfromsociologicalpreferenceofemployers,butfromrealdifferencesinproductivityconnectedwithoneformofhu-maninvestment,i.e.,education.Andyetanotherexample,thecurvere-latingincometoagetendstobesteeperforskilledthanforunskilledpersons.Investmentinon-the-jobtrainingseemsalikelyexplanation,asIshallnotelater.

Economicgrowthrequiresmuchinternalmigrationofworkerstoad-justtochangingjobopportunities[10].Youngmenandwomenmovemorereadilythanolderworkers.Surelythismakeseconomicsensewhenonerecognizesthatthecostsofsuchmigrationareaformofhumaninvestment.Youngpeoplehavemoreyearsaheadofthemthanolderworkersduringwhichtheycanrealizeonsuchaninvestment.Henceittakeslessofawagedifferentialtomakeiteconomicallyad-vantageousforthemtomove,or,toputitdifferently,youngpeoplecanexpectahigherreturnontheirinvestmentinmigrationthanolderpeople.Thisdifferentialmayexplainselectivemigrationwithoutrequir-inganappealtosociologicaldifferencesbetweenyoungandoldpeople. Theexamplessofargivenareforinvestmentinhumanbeingsthatyieldareturnoveralongperiod.Thisistrueequallyofinvestmentineducation,training,andmigrationofyoungpeople.Notallinvestmentsinhumanbeingsareofthiskind;somearemorenearlyakintocurrentinputsasforexampleexpendituresonfoodandshelterinsomecoun-

BasedonunpublishedpreliminaryresultsobtainedbyJosephWillettinhisPh.D.researchattheUniversityofChicago.

SCHULTZ:INVESTMENTINHUMANCAPITAL5

trieswhereworkismainlytheapplicationofbrutehumanforce,callingforenergyandstamina,andwheretheintakeoffoodisfarfromenoughtodoafullday'swork.Onthe“hungry”steppesandintheteemingvalleysofAsia,millionsofadultmaleshavesomeageradietthattheycannotdomorethanafewhoursofhardwork.Tocallthemunderemployeddoesnotseempertinent.Undersuchcircum-stancesitiscertainlymeaningfultotreatfoodpartlyasconsumptionandpartlyasacurrent“producergood,”assomeIndianeconomistshavedone[3].LetusnotforgetthatWesterneconomistsduringtheearlydecadesofindustrializationandeveninthetimeofMarshallandPigouoftenconnectedadditionalfoodforworkerswithincreasesinlaborproductivity.

Letmenowpassontothreemajorperplexingquestionscloselycon-nectedwiththeriddleofeconomicgrowth.First,considerthelong-

periodbehaviorofthecapital-incomeratio.Weweretaughtthatacoun-

trywhichamassedmorereproduciblecapitalrelativetoitslandand

laborwouldemploysuchcapitalingreater“depth”becauseofitsgrow-

ingabundanceandcheapness.Butapparentlythisisnotwhathappens.

Onthecontrary,theestimatesnowavailableshowthatlessofsuchcapitaltendstobeemployedrelativetoincomeaseconomicgrowthpro-

ceeds.Arewetoinferthattheratioofcapitaltoincomehasnorelevance.inexplainingeitherpovertyoropulence?Orthatariseofthisratiois

notaprerequisitetoeconomicgrowth?Thesequestionsraisefunda-

mentalissuesbearingonmotivesandpreferencesforholdingwealth

aswellasonthemotivesforparticularinvestmentsandthestockof

capitaltherebyaccumulated.Formypurposeallthatneedstobesaid

isthattheseestimatesofcapital-incomeratiosrefertoonlyapartof

allcapital.Theyexcludeinparticular,andmostunfortunately,any

humancapital.Yethumancapitalhassurelybeenincreasingatarate。substantiallygreaterthanreproducible(nonhuman)capital.Wecan-

not,therefore,inferfromtheseestimatesthatthestockofallcapitalhasbeendecreasingrelativetoincome.Onthecontrary,ifweacceptthenotimplausibleassumptionthatthemotivesandpreferencesofpeople,thetechnicalopportunitiesopentothem,andtheuncertaintyassociatedwitheconomicgrowthduringparticularperiodswereleadingpeopletomaintainroughlyaconstantratiobetweenallcapitalandincome,thedeclineintheestimatedcapital-incomeratio³issimplyasignalthathumancapitalhasbeenincreasingrelativelynotonlytoconventionalcapitalbutalsotoincome.

Thebumpercropofestimatesthatshownationalincomeincreas-

'Ileaveasideherethediffcultiesinherentinidentifyingandmeasuringboththenon-humancapitalandtheincomeenteringintoestimatesofthisratio.Thereareindexnumberandaggregationproblemsaplenty,andnotallimprovementsinthequalityofthiscapitalhavebeenaccountedfor,asIshallnotelater.

6THEAMERICANECONOMICREVIEW

ingfasterthannationalresourcesraisesasecondandnotunrelatedpuzzle.TheincomeoftheUnitedStateshasbeenincreasingatamuchvhigherratethanthecombinedamountofland,man-hoursworkedandthestockofreproduciblecapitalusedtoproducetheincome.More-over,thediscrepancybetweenthetworateshasbecomelargerfromonebusinesscycletothenextduringrecentdecades[5].Tocallthisdiscrepancyameasureof“resourceproductivity”givesanametoourignorancebutdoesnotdispelit.Ifweaccepttheseestimates,thecon-nectionsbetweennationalresourcesandnationalincomehavebecome

looseandtenuousovertime.Unlessthisdiscrepancycanberesolved,receivedtheoryofproductionappliedtoinputsandoutputsascur-rentlymeasuredisatoyandnotatoolforstudyingeconomicgrowth.

Twosetsofforcesprobablyaccountforthediscrepancy,ifweneglectentirelytheindexnumberandaggregationprobiemsthatbe-devilallestimatesofsuchglobalaggregatesastotailoutputandtotalinput.Oneisreturnstoscale;thesecond,thelargeimprovementsinthequalityofinputsthathaveoccurredbuthavebeenomittedfromtheinputestimates.Oureconomyhasundoubtedlybeenexperiencingincreasingreturnstoscaleatsomepointsoffsetbydecreasingreturnsatothers.Ifwecansucceedinidentifyingandmeasuringthenetgains,theymayturnouttohavebeensubstantial.Theimprovementsinthequalityofinputsthathavenotbeenadequatelyallowedforarenodoubtpartlyinmaterial(nonhuman)capital.Myownconception,however,isthatboththisdefectandtheomissionofeconomiesofscaleareminorsourcesofdiscrepancybetweentheratesofgrowthofinputsandoutputscomparedtotheimprovementsinhumancapac-itythathavebeenomitted.

Asmallsteptakesusfromthesetwopuzzlesraisedbyexistingesti-matestoathirdwhichbringsustotheheartofthematter,namelythe-essentiallyunexplainedlargeincreaseinrealearningsofworkers.Can thisbeawindfall?Oraquasirentpendingtheadjustmentinthesupply oflabor?Or,apurerentreflectingthefixedamountoflabor?Itseems farmorereasonablethatitrepresentsratherareturntotheinvestment thathasbeenmadeinhumanbeings.Theobservedgrowthinpro- ductivityperunitoflaborissimplyaconsequenceofholdingtheunit oflaborconstantovertimealthoughinfactthisunitoflaborhasbeen increasingasaresultofasteadilygrowingamountofhumancapital perworker.AsIreadourrecord,thehumancapitalcomponenthasbe- comeverylargeasaconsequenceofhumaninvestment.

Anotheraspectofthesamebasicquestion,whichadmitsofthesameresolution,istherapidpostwarrecoveryofcountriesthathadsufferedseveredestructionofplantandequipmentduringthewar.Thetollfrombombingwasalltoovisibleinthefactorieslaidflat,therailroad

SCHULTZ:INVESTMENTINHUMANCAPITAL7

yards,bridges,andharborswrecked,andthecitiesinruin.Structures,equipmentandinventorieswereallheapsofrubble.Notsovisible,yetlarge,wasthetollfromthewartimedepletionofthephysicalplantthatescapeddestructionbybombs.Economistswerecalledupontoassesstheimplicationsofthesewartimelossesforrecovery.Inretro-spect,itisclearthattheyoverestimatedtheprospectiveretardingeffectsoftheselosses.Havinghadasmallhandinthiseffort,Ihavehadaspecialreasonforlookingbackandwonderingwhythejudg-mentsthatweformedsoonafterthewarprovedtobesofarfromthemark.Theexplanationthatnowisclearisthatwegavealtogethertoomuchweighttononhumancapitalinmakingtheseassessments.Wefellintothiserror,Iamconvinced,becausewedidnothaveaconceptofallcapitaland,therefore,failedtotakeaccountofhumancapitalandtheimportantpartthatitplaysinproductioninamoderneconomy.

Letmeclosethissectionwithacommentonpoorcountries,forwhichtherearevirtuallynosolidestimates.Ihavebeenimpressedbyrepeatedlyexpressedjudgments,especiallybythosewhohaveare-sponsibilityinmakingcapitalavailabletopoorcountries,aboutthelowrateatwhichthesecountriescanabsorbadditionalcapital.Newcapitalfromoutsidecanbeputtogooduse,itissaid,onlywhenitisadded“slowlyandgradually.”Butthisexperienceisatvariancewiththewidelyheldimpressionthatcountriesarepoorfundamentallybecausetheyarestarvedforcapitalandthatadditionalcapitalistrulythekeytotheirmorerapideconomicgrowth.Thereconciliationisagain,Ibelieve,tobefoundinemphasisonparticularformsofcapital.Thenewcapitalavailabletothesecountriesfromoutsideasarulegoesintotheformationofstructures,equipmentandsometimesalsointoinventories.Butitisgenerallynotavailableforadditionalinvest-mentinman.Consequently,humancapabilitiesdonotstayabreastofphysicalcapital,andtheydobecomelimitingfactorsineconomicgrowth.Itshouldcomeasnosurprise,therefore,thattheabsorptionrateofcapitaltoaugmentonlyparticularnonhumanresourcesisnecessarilylow.TheHorvat[8]formulationoftheoptimumrateofinvestmentwhichtreatsknowledgeandskillasacriticalinvestment

variableindeterminingtherateofeconomicgrowthisbothrelevantandimportant.

III.ScopeandSubstanceofTheseInvestments

Whatarehumaninvestments?Cantheybedistinguishedfromcon-sumption?Isitatallfeasibletoidentifyandmeasurethem?Whatdotheycontributetoincome?Grantedthattheyseemamorphouscom-paredtobrickandmortar,andhardtogetatcomparedtothein-vestmentaccountsofcorporations,theyassuredlyarenotafragment;

8THEAMERICANECONOMICREVIEW

theyareratherlikethecontentsofPandora'sbox,fullofdifficultiesandhope.

Humanresourcesobviouslyhavebothquantitativeandqualitative

dimensions.Thenumberofpeople,theproportionwhoenteruponuse-fulwork,andhoursworkedareessentiallyquantitativecharacteristics.Tomakemytasktolerablymanageable,Ishallneglecttheseandcon-sideronlysuchqualitycomponentsasskill,knowledge,andsimilarattributesthataffectparticularhumancapabilitiestodoproductivework.Insofarasexpenditurestoenhancesuchcapabilitiesalsoin-creasethevalueproductivityofhumaneffort(labor),theywillyieldapositiverateofreturn.⁴

Howcanweestimatethemagnitudeofhumaninvestment?The

practicefollowedinconnectionwithphysicalcapitalgoodsistoesti-matethemagnitudeofcapitalformationbyexpendituresmadetopro-ducethecapitalgoods.Thispracticewouldsufficealsofortheforma-tionofhumancapital.However,forhumancapitalthereisanadditionalproblemthatislesspressingforphysicalcapitalgoods:howtodistin-guishbetweenexpendituresforconsumptionandforinvestment.Thisdistinctionbristleswithbothconceptualandpracticaldificulties.Wecanthinkofthreeclassesofexpenditures:expendituresthatsatisfyconsumerpreferencesandinnowayenhancethecapabilitiesunderdiscussion—theserepresentpureconsumption;expendituresthaten-hancecapabilitiesanddonotsatisfyanypreferencesunderlyingcon-sumption—theserepresentpureinvestment;andexpendituresthathavebotheffects.Mostrelevantactivitiesclearlyareinthethirdclass,partlyconsumptionandpartlyinvestment,whichiswhythetaskofidentifyingeachcomponentissoformidableandwhythemeasurementofcapitalformationbyexpendituresislessusefulforhumaninvest-mentthanforinvestmentinphysicalgoods.Inprinciplethereisanalternativemethodforestimatinghumaninvestment,namelybyitsyieldratherthanbyitscost.Whileanycapabilityproducedbyhumaninvestmentbecomesapartofthehumanagentandhencecannotbesold;itisnevertheless“intouchwiththemarketplace”byaffectingthewagesandsalariesthehumanagentcanearn.Theresultingin-creaseinearningsistheyieldontheinvestment.5

Despitethedifficultyofexactmeasurementatthisstageofour

understandingofhumaninvestment,manyinsightscanbegainedbyexaminingsomeofthemoreimportantactivitiesthatimprovehuman

,‘Evenso,ourobservedreturncanbeeithernegative,zeroorpositivebecauseour

observationsaredrawnfromaworldwherethereisuncertaintyandimperfectknowledgeandwheretherearewindfallgainsandlossesandmistakesaplenty.

Inprinciple,thevalueoftheinvestmentcanbedeterminedbydiscountingtheaddi-

tionalfutureearningsityieldsjustasthevalueofaphysicalcapitalgoodcanbedeicr-minedbydiscountingitsincomestream.

good

'Forinstance,theincomeelasticityofthedemandforfoodcontinuestobepositiveevenafterthepointisreachedwhereadditionalfoodnolongerhastheattributeofa“producer.”

SCHULTZ:INVESTMENTINHUMANCAPITAL9

capabilities.Ishallconcentrateonfivemajorcategories:(1)healthfacilitiesandservices,broadlyconceivedtoincludeallexpendituresthatafiectthelifeexpectancy,strengthandstamina,andthevigorandvitalityofapeople;(2)on-the-jobtraining,includingold-styleapprenticeshiporganizedbyfirms;(3)formallyorganizededucationattheelementary,secondary,andhigherlevels;(4)studyprogramsforadultsthatarenotorganizedbyfirms,includingextensionpro-gramsnotablyinagriculture;(5)migrationofindividualsandfamiliestoadjusttochangingjobopportunities.Exceptforeducation,notmuchisknownabouttheseactivitiesthatisgermanehere.Ishallre-f