In this article I initiate a debate into the (de)merits of human capital theory and human capability theory and discuss implications of the debate for higher education. Human capital theory holds that economic growth depends on investment in education and that economic growth is the basis for improving the quality of human life. Human capable theory shifts the focus away from economic growth, which it views as too crude a measure for how the quality of life of a nation is improving. Instead what people are able to do (and be) and the real opportunities available to them (their capabilities) are seen as more important.