Much the larger part of training in modern economies is provided (though, as we shall see, not necessarily financed) by industrial firms. Since this activity, by definition, is very much a secondary one, the question arises immediately: Why is it that industrial firms, rather than specialised training schools, provide the bulk of training in Britain? Clearly, industrial firms require the services of a skilled labour force to operate successfully; but, utilising the analogy drawn earlier with physical capital, why, predominantly, do firms create their own human-capital resources rather than obtaining them from specialised capital-goods producers as in the case of physical assets?