Question

Krista owns a hair salon. She wants to increase the number of clients she serves each month, so she knows she needs to acquire more resources. Which of the following actions would represent an increase in the human capital resource at her hair salon?

a. buying more chairs and hair dryers
b. hiring more stylists
c. moving into a larger salon
d. purchasing better-quality shampoo
e. buying more scissors and combs

Answer 1

b. hiring more stylists

Step-by-step explanation:

Human capital is one of the factors of production. It refers to the skills and knowledge of individuals that can be used to create economic value. Human capital is the people working to produce goods and services.

In a hair salon, hiring more stylist increases the human capital resources.