GK
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Either A or B
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None of the above
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Detailed explanation-1: -Labor is made up of the individuals who are responsible for the development of goods and services. Capital goods, such as tools, equipment, and machinery, are part of the capital category.
Detailed explanation-2: -Labor is the human effort that can be applied to the production of goods and services. People who are employed or would like to be are considered part of the labor available to the economy. Capital is a factor of production that has been produced for use in the production of other goods and services.
Detailed explanation-3: -Labor can also be classified as the physical and mental contribution of an employee to the production of the good(s). Capital stock-human-made goods which are used in the production of other goods. These include machinery, tools, and buildings. They are of two types, fixed and working.
Detailed explanation-4: -In economics, factors of production are the resources people use to produce goods and services; they are the building blocks of the economy.
Detailed explanation-5: -CAPITAL-the tools, equipment, machinery, and factories used in the production of goods and services.