Human capital in the context of "Economic imperialism"

Labour economics is the subfield of economics concerned with the study of labour as an input to economic production. Broadly, it surveys labor markets and the ecomic decisions of agents participating in such markets. Topics of study include the labour supply of workers and how it is affected by variables such as age, education, gender and childbearing, as well as the labour demand by firms searching for different forms of labor as an input in the production of goods and services. In addition, labour economics studies, amognst others, phenomena such as schooling, human capital, inequality, unemployment, trade unions, discrimination, technological change, and public policies related to labor markets, such as unemployment benefits, pensions and health care.

In economics, factors of production, resources, or inputs are what is used in the production process to produce output—that is, goods and services. The utilised amounts of the various inputs determine the quantity of output according to the relationship called the production function. There are four basic resources or factors of production: land, labour, capital and entrepreneur (or enterprise). The factors are also frequently labeled "producer goods or services" to distinguish them from the goods or services purchased by consumers, which are frequently labeled "consumer goods".

There are two types of factors: primary and secondary. The previously mentioned primary factors are land, labour and capital. Materials and energy are considered secondary factors in classical economics because they are obtained from land, labour, and capital. The primary factors facilitate production but neither become part of the product (as with raw materials) nor become significantly transformed by the production process (as with fuel used to power machinery). Land includes not only the site of production but also natural resources above or below the soil. Recent usage has distinguished human capital (the stock of knowledge in the labor force) from labour. Entrepreneurship is also sometimes considered a factor of production. Sometimes the overall state of technology is described as a factor of production. The number and definition of factors vary, depending on theoretical purpose, empirical emphasis, or school of economics.

During the Age of Discovery, a large scale colonization of the Americas, involving European countries, took place primarily between the late 15th century and early 19th century. The Norse settled areas of the North Atlantic, colonizing Greenland and creating a short-term settlement near the northern tip of Newfoundland circa 1000 AD. However, due to its long duration and importance, the later colonization by Europeans, after Christopher Columbus’s voyages, is more well-known. During this time, the European colonial empires of Spain, Portugal, Great Britain, France, Russia, the Netherlands, Denmark, and Sweden began to explore and claim the Americas, its natural resources, and human capital, leading to the displacement, disestablishment, enslavement, and genocide of the Indigenous peoples in the Americas, and the establishment of several settler colonial states.

The rapid rate at which some European nations grew in wealth and power was unforeseeable in the early 15th century because it had been preoccupied with internal wars and it was slowly recovering from the loss of population caused by the Black Death. The Ottoman Empire's domination of trade routes to Asia prompted Western European monarchs to search for alternatives, resulting in the voyages of Christopher Columbus and his accidental arrival at the New World. With the signing of the Treaty of Tordesillas in 1494, Portugal and Spain agreed to divide the Earth in two, with Portugal having dominion over non-Christian lands in the world's eastern half, and Spain over those in the western half. Spanish claims essentially included all of the Americas; however, the Treaty of Tordesillas granted the eastern tip of South America to Portugal, where it established Brazil in the early 1500s, and the East Indies to Spain, where It established the Philippines. The city of Santo Domingo, in the current-day Dominican Republic, founded in 1496 by Columbus, is credited as the oldest continuously inhabited European-established settlement in the Americas.

The knowledge economy, or knowledge-based economy, is an economic system in which the production of goods and services is based principally on knowledge-intensive activities that contribute to advancement in technical and scientific innovation. The key element of value is the greater dependence on human capital and intellectual property as the source of innovative ideas, information, and practices. Organisations are required to capitalise on this "knowledge" in their production to stimulate and deepen the business development process. There is less reliance on physical input and natural resources. A knowledge-based economy relies on the crucial role of intangible assets within the organisations' settings in facilitating modern economic growth.

Human migration is the movement of people from one place to another, with intentions of settling, permanently or temporarily, at a new location (geographic region). The movement often occurs over long distances and from one country to another (external migration), but internal migration (within a single country) is the dominant form of human migration globally.

Migration is often associated with better human capital at both individual and household level, and with better access to migration networks, facilitating a possible second move. It has a high potential to improve human development, and some studies confirm that migration is the most direct route out of poverty. Age is also important for both work and non-work migration. People may migrate as individuals, in family units or in large groups. There are four major forms of migration: invasion, conquest, colonization and emigration/immigration.

Weak and strong sustainability are terms that have emerged from the field of environmental economics and describe different approaches to sustainability, specifically in relation to natural resource management and economic development. Weak sustainability is applicable when certain natural and human capital assets are assessed as interchangeable, meaning that the use or loss of, for example, a reduction in natural capital can be considered sustainable if the simultaneous change in human capital meets or exceeds the value of the change in natural capital. It assumes that different types of capital can be measured and given value in the same way. Strong sustainability is applicable when a specific capital asset, typically a natural capital asset, is assessed as incommensurable or so valuable that it should be maintained or enhanced independently of changes in other, typically human-made, capitals. It particularly considers that certain natural assets have critical ecological functions that cannot be substituted by human-made alternatives.

For example, according to weak sustainability, replacing a natural forest with a park or agricultural land can be considered sustainable if the recreational or economic value equal the value of the biodiversity lost and further environmental impact caused. According to strong sustainability, cutting down trees in a natural forest and planting new trees elsewhere might not be considered sustainable, when the value of biodiversity loss and wider ecological implications cannot be measured or offset.

Demographic transition is a phenomenon and theory in the social sciences (especially demography) referring to the historical shift from high to low rates of birth and death, as societies attain several attributes: more technology, education (especially for women), and economic development. The demographic transition has occurred in most of the world over the past two centuries, bringing the unprecedented population growth of the post-Malthusian period, and then reducing birth rates and population growth significantly in all regions of the world. The demographic transition strengthens the economic growth process through three changes: reduced dilution of capital and land stock; increased investment in human capital; and increased size of the labor force relative to the total population, along with a changed distribution of population age. Although this shift has occurred in many industrialized countries, the theory and model are often imprecise when applied to individual countries, because of specific social, political, and economic factors that affect particular populations.

Nevertheless, the existence of some type of demographic transition is widely accepted because of the well-established historical correlation between two factors: dropping fertility rates, and social and economic development. Scholars debate whether industrialization and higher incomes lead to lower population, or vice versa. Scholars also debate to what extent various proposed and sometimes interrelated factors are involved—factors such as higher per capita income, lower mortality, old-age security, and increased demand for human capital. Human capital gradually increased during the second stage of the Industrial Revolution, which coincided with the demographic transition. The increasing role of human capital in the production process led families to invest this capital in children, which may have been the beginning of the demographic transition.