Economic+Resources+-+Land+and+Capital

=Economic Resources: Land and Capital=

Economic resources are all natural, human or manufactured resources that go into the production of goods and services. Two of the main types of economic resoures are land and capital. Land is the resource that includes everything found on or in land; it is also known as "gifts of nature." Some examples of land resources are mineral deposites, oil, water, trees. The income that is gained from the ownership of land is refered to as rent. Another resource is capital. Capital is all manufactored aids that helps produce a product or service more effectivly. Say you wanted to farm; in order to farm more productivly you would first acquire a tractor. The tractor is capital. Other examples of capital are tools, factories, stroages and transportation. A common misconception is that money is captial. However, money is not capital because produces nothing. media type="youtube" key="mNy2x6LZklQ&hl=en&fs=1" height="344" width="425" This video shows the capital that is used to produce cars. Sample Question: Is money a capital good? (answer at bottom of page)

[|Is money a captial good?: an examination] [|capital goods are stored labor] - use the ctrl + f function to find.

[|Wikipedia]- means of production


 * [|capital goods]
 * [|land]

Sample Answer: No. Money has no productive ability of its own, so it is not a capital good.