Examples of physical capital include _______________________.Examples of human capital include ______________________________.
A) knowledge one picks up through education and training; factories and computers
B) machines and factories; chairs and desks
C) knowledge one picks up through education and experience; factories and machines
D) machines and factories; knowledge one picks up through education and training

Question

Quizplus · Accepted Answer

Physical capital refers to tangible assets used in production, while human capital refers to the knowledge and skills possessed by individuals. Machines and factories are examples of physical capital, while the knowledge and skills obtained through education and training are examples of human capital. Therefore, the best choice is D, which correctly identifies machines and factories as physical capital and knowledge gained through education and training as human capital.

Examples of Physical Capital Include _______________________