ECONOMICS (CBSE/UGC NET)

ECONOMICS

DECISION MAKING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Land is an example of a capital resource.
A
True
B
False
C
Either A or B
D
None of the above
Explanation: 

Detailed explanation-1: -Capital resources include money to start a new business, tools, buildings, machinery, and any other goods people make to produce goods and provide services.

Detailed explanation-2: -Economists traditionally divide the factors of production into four categories: land, labor, capital, and entrepreneurship. Land refers to natural resources, labor refers to work effort, and capital is anything made that is used to make something else.

Detailed explanation-3: -The correct answer to the given question is option d. Stocks and bonds.

Detailed explanation-4: -It is useful to differentiate between five kinds of capital: financial, natural, produced, human, and social. All are stocks that have the capacity to produce flows of economically desirable outputs. The maintenance of all five kinds of capital is essential for the sustainability of economic development.

There is 1 question to complete.