Paula Todhunter, Chapter 6, Question #5

The example Wheelan used about the farming community on page 132 through 133 really helped me understand the concept of human capital, as well as creating jobs and creative destruction. If there is a town where everyone is making enough for themselves and someone, who doesn't really have anything to offer, shows up looking for a job, there just isn't going to be one available. but if someone came into town with a good education as well as a brand new idea of doing things a better way, then he has created his own job and made it easier for the farmers to farm. Everyone wins. This wouldn't have been possible without education and creativity. Then he talked about what would happen if someone else came along with a better idea for plows, then the first person would be out of a job. Although this is true, the town would be overall better off and maybe even make enough money to hire the guy for a different job with the money they're saving with they're new technology.