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What is the importance of social overhead capital (infrastructure)?

What is the importance of social overhead capital (infrastructure)?

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Answer #1
  • Social overhead cost is a synonym for infrastructure
  • This is the capital used to produce goods and services that are not sold for money
  • They enhance directly or indirectly the output, transportation, power generation, communication and banking, educational and health facilitates
  • They also enhance government and political structures
  • They are the way of achieving faster growth and their benefits are shared by public like buildings, roads, railways etc
  • SOC Is essential for achieving self sustainable growth.
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