1. Unlike physical capital, human capital hardly becomes obsolete. Educated labour force is able to adjust and acquire new skills through further education and training.
2. Unlike physical capital, human capital cannot be sold since it is an integral part of educated labour force.
3. Unlike physical capital, human capital is not only a usable commodity but also decides how much can be achieved with the other resources. The implication is that human capital is required in all sectors of economy.
4. Unlike physical capital that is created through additional capital, human capital is created through investment in education and the expected income stream is represented y relative higher level of lifetime earnings.
Jonmhumble answered the question on October 29, 2017 at 16:42
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