Human resources, defined as the skilled and educated manpower in a country, play a critical role in economic development by utilizing natural resources, expanding production, and managing technology. Countries like Japan and Germany exemplify how effective human resource management can drive economic growth despite natural resource limitations. The overall efficiency and specialization provided by human resources are essential in removing economic backwardness and enhancing national productivity.

2. Human Resource in general means
the population of the country.
But in economics Human Resource
means healthy, skilled and
educated manpower.
Therefore Human resource is the
procedure of refining the quality
and competency of people.
“According to the National planning
commission, “Human resource is
the knowledge, skill, efficiency and
physical and mental capacity to do
work inherent in the people of the
country”.
Task of Human Resource in
Economic Development

3. Human Resource plays a vital role in the evolution
and growth of the country. Countries like Japan,
China, Germany etc. economically develop
themselves due to competency & Capacity of their
human resource. They are now considered as the
most economically developed countries.
1. Utilization of Natural Resource - Human
Resource uses natural resources like water, mineral,
wind, forest. Utilization of natural resources helps in
economic development and human only utilize and
mobilize resources. By proper utilization of natural
resources national income also increases which
results in increase of per capita income.
2. Recompense natural resource deficiency – The
use of human resource meets the deficit of natural
resources. Those countries such as japan, Korea,
Italy which are weak in natural resources achieve
their economic development by utilizing proper
human resource.
3. Expand Production – Proper uses of human
resources results in expansion of productivity and
production of different goods and service. By the help
of efficient, educated and skilled human resources
productivity can be increased.

4. 4. Increase in management capacity and
entrepreneurship – Management power and
entrepreneurship increases by the utilization of proper
human resource. As a result new innovation, new
production techniques, new markets are developed.
5. Use of Physical Capital – Countries having physical
capital does not mean they should be economically
developed. Capital should be properly utilized. Without
involvement of human resource it is impossible to manage
machineries and operate factories and industries.
6. Up gradations of technology – Economic development
of a country depends on how much that particular country
technologically advance in all aspect. This technologies are
invented and advanced by humans. Thus human resource
plays a vital role in changes in technology and advance
technology is necessary for the economic development of
the country.
7. Remove economic background –By the help of human
resource economic backwardness can be directly removed.
It effectively increases efficiency and specialization. This
increases mobility of labor, which makes effective
resources more fruitful.
These all leads to the economic development by the
help of human resource.