QuestionJuly 13, 2025

Which of the following items are considered by economists to be capital? a heart surgeon fresh water coal machines in a factory

Which of the following items are considered by economists to be capital? a heart surgeon fresh water coal machines in a factory
Which of the following items are considered by economists to be capital?
a heart surgeon
fresh water
coal
machines in a factory

Solution
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Answer

Machines in a factory Explanation 1. Identify Capital Economists define capital as man-made resources used in the production of goods and services. 2. Evaluate Each Item - A heart surgeon is labor, not capital. - Fresh water is a natural resource, not capital. - Coal is a natural resource, not capital. - Machines in a factory are man-made tools used for production, thus considered capital.

Explanation

1. Identify Capital<br /> Economists define capital as man-made resources used in the production of goods and services.<br /><br />2. Evaluate Each Item<br /> - A heart surgeon is labor, not capital.<br /> - Fresh water is a natural resource, not capital.<br /> - Coal is a natural resource, not capital.<br /> - Machines in a factory are man-made tools used for production, thus considered capital.
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