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  • 02-02-2016
  • Business
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What is capital as a factor of production?

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taskmasters
taskmasters taskmasters
  • 02-02-2016
Capital is one of the three primary factors of production. Others are land and labor. Capital or capital goods can be consumable ones, but it is better if they are left unused, where there will be more supply available for a subsequent time. Also, anything that can help the owner to do efficient work is called capital. An example for this is a machine in a factory that can help the owner of the business do work faster and gain more income-producing goods.  
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