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Avyaan’s education… (Class 12 Economics SQP 2026-27, Q32B)

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EconomicsCBSE Class 12 · Sample paper, session 2026-27 · 4 marks · Short answer

CBSE Class 12 Economics sample paper 2026-27: question 32(B)

From the official CBSE sample question paper for 2026-27, section B, question 32(B), for 4 marks. Try it first; the hints and our step-by-step solution are below.

Q32(B) · 4 marks · Short answerCompetency-basedHuman Capital Formation in India

Avyaan’s education enables him to take informed decisions related to his health, finances, and social responsibilities. On the other hand, Amyra has received technical training in machine operations to improve her skills and productivity with the aim of increasing output.
In the context of the distinction between human development and human capital formation, identify which case represents human development. Give valid reasons to justify your answer.

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2026-27.

Hints

Open one hint at a time and try again before the next.

Hint 1

Is education valued for itself or for the extra output it brings?

Hint 2

Human capital treats people as a means to an end.

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Avyaan's case represents human development. Human development aims at expanding people's choices and well-being as ends in themselves; education is valued because it lets him make informed decisions on health, finances and social responsibilities, improving his quality of life.

    2 marks

  2. Amyra's technical training aims at raising her skills and productivity to increase output. That is human capital formation, which treats education and training as a means to higher productivity and income.

    2 marks

Answer: Avyaan's case is human development (education improves well-being and choices); Amyra's is human capital formation (training to raise output).

Where the marks are

  • Avyaan identified with reason (2)
  • Amyra contrasted as human capital formation (2)

Revise the chapter

Practise this chapterBoard-style questions from Human Capital Formation in India, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2026-27: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.