ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Capital resources are man-made goods that are used to create other goods or perform a service. These resources increase productivity for a business. Capital resources include locations, machinery, tools, and any other man-made items used to help a business make a good or provide a service.

Detailed explanation-2: -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-3: -Natural resources are things that come from nature and are unchanged by human hands. Examples of natural resources are water, air, trees, minerals, and animals. Capital resources are man-made tools and equipment used to produce a product.

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.