International Journal of Research and Innovation in Social Science (IJRISS) |Volume VI, Issue X, October 2022|ISSN 2454-6186

Human Capital Development in Nigeria: Determinants and Challenges

Modesta Chinwe Akunede, Geraldine Ejiaka Nzeribe*, Uju Regina Ezenekwe
Department of Economics, Nnamdi Azikiwe University, Awka, Nigeria.
*Corresponding Author’s

Abstract: The human capital theory is one of the foundational theories of socio-economic development. The founding scholars hold that any acquired qualities and abilities that help individuals and groups be economically productive is an individual or group human capital. However, the focus by classical human capital model on schooling and training as the major factors comprising human capital on all levels has made the human capital measurement tools to generally assess only educational attainment on these levels. This overly simplified approach creates difficulty in accurately assessing the strengths and weaknesses of human capital in a country but policy-makers and others use these simplified estimates of human capital because the factors suggested to have significant impact on human capital are mostly intangible and the collection of such data costly. To identify and analyze the significant factors affecting the Nigerian human capital and determine efficient and effective ways of improvement, this study administered 90 copies of questionnaires to participants who were selected using purposive sampling technique. Responses were retrieved from 78 participants. A descriptive survey design using tables and mean scores was applied to the retrieved data. Findings revealed that human capital development is not limited to only investment in health and education but includes all policy measures which favour a country’s human population such as the provision of infrastructural facilities, enabling environment for businesses while reducing tribalism and other social vices all promote human capital development. Public opinion also suggested that having responsible families, even distribution of income and distributive justice in Nigeria will improve the state of her human capital.

Key words: Human capital, Human capital development, Human capital variables.

JEL Classification Codes: O15, J24, C83

I. INTRODUCTION

Background of the study

Human capital consists of the knowledge, skills, and health that people invest in and accumulate throughout their lives, enabling them to realize their potential as productive members of the society (World Bank, 2021). Better standard of living in the form of good healthcare, quality education, availability of jobs and skill acquisition help develop human capital and therefore a key to ending extreme poverty and creating more inclusive societies.
Human capital development requires more than good education, health care and skills. This is because, the circumstances preceding, surrounding and succeeding