A software engineer with a master's degree earns more than one with only a bachelor's degree. What does this suggest about the role of human capital in wage determination?

• A. Higher education increases human capital, leading to higher wages.
• B. Human capital is irrelevant in technology fields.
• C. Wages are solely determined by years of experience.
• D. Education level has no impact on wages in the tech industry.

Answer: (A)