The main reason our standard of living is so much higher than that of India and China is that we have more
A)land.
B)labor.
C)capital.
D)money.

Question

Quizplus · Accepted Answer

Capital refers to the physical and financial assets that are used in the production of goods and services. The higher standard of living in developed countries like the United States is largely due to their greater availability of capital. Capital allows for investments in technology and infrastructure, which lead to productivity gains and overall economic growth. India and China, on the other hand, have less-developed economies with less capital available for investment, which limits their potential for growth and development. While land and labor are important factors in economic growth, it is capital that allows for the highest standard of living.

The Main Reason Our Standard of Living Is So Much