A Comparative Analysis of the Human Capital in Costa Rica

This paper seeks to explore connections between the industries and sociopolitical environment in Costa Rica and human capital. Human capital for the purpose of this paper is an individual or a population’s ability to produce goods and services concerning human factors of productivity namely their health, education, or technical skillset. This question is interesting because improving human capital, in general, allows for more goods and services to be produced, and therefore higher welfare. This means recognizing conditions that improve human capital may provide a guide to enhanced prosperity. The paper identifies the characteristic industries in Costa Rica as tropical agriculture and small electronics manufacturing, provides insight as to how on the job training and externalities of these industries might affect human capital, and compares other similar nations’ data to world data provided by the world bank. The other central aim is to draw insight on how a nation having a standing military might impact human capital, which is relevant because Costa Rica abolished its military over fifty years ago.