The correct option is (b).
Explanation
Human resources refer to the size of the population as well as its efficiency, educational qualities, productivity, organizational abilities, and farsightedness. It is the ultimate resource that transforms natural endowments into useful goods and services through the application of skills and technology.
Statement-wise Analysis
- Statement 1 is Incorrect. Human resources do not refer merely to the number (quantity) of people. While the size of the population is a factor, the concept emphasizes the quality of the population-specifically their skills, education, health, and technical know-how-which determines their ability to contribute to economic development.
- Statement 2 is Correct. The term encompasses the full range of human potential, including physical strength (manual labor) and mental abilities (intellectual, managerial, and technical skills). Both aspects are essential for utilizing other resources effectively.
- Statement 3 is Incorrect. Human beings are social animals and economic agents who function within a system of interdependence. Through the division of labor and social cooperation, individuals rely on the skills and services of others to function effectively in an economy. They do not operate in isolation.
Key Takeaway
Human Resource is distinct from mere population numbers; it represents the collective abilities (mental and physical) and skills of the people that turn them into an asset for the economy rather than a liability.