GENERAL KNOWLEDGE

Detailed explanation-1: -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-2: -Human resources (labor) describe the human work effort, both physical and mental, expended in production. Capital resources are the man-made physical resources (such as buildings, tools, machines, and equipment) used in production.

Detailed explanation-3: -Labor represents the human factor in producing the goods and services of an economy.

Detailed explanation-4: -Capital goods are man-made, durable items used by businesses to produce goods and services. They include tools, buildings, vehicles, machinery, and equipment.

Detailed explanation-5: -Answer and Explanation: People who produce goods and services in a specific economy are collectively known as producers because they collect input resources and transform the raw material into final output in terms of goods and services.