The Flow from Capital Resources Is Compensated According to The

question 138

Multiple Choice

The flow from capital resources is compensated according to the:

• A)carrying capacity of the capital
• B)value of the marginal product of capital
• C)purchase price of the capital stock
• D)absolute level of production of final goods and services

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Definitions:

Loanable Funds

The loanable funds market is a concept in economics where the supply of and demand for loans determine the interest rate, including all forms of credit like loans, bonds, or savings deposits.

Savings

The portion of disposable income not spent on consumption of goods and services, set aside for future use or emergencies.

Investment Funds

Pools of capital from multiple investors used to collectively purchase securities while each investor retains ownership and control of their own shares.

Demand

In economics, demand is the quantity of a good or service that consumers are willing and able to purchase at various prices during a certain period of time.