Define the following terms:
a. Human capital
b. Investment
c. Capital formation
d. Property rights
a. Human capital is the amount of skill embodied in the workforce. It is most commonly measured by the amount of education and training.
b. Investment is the flow of resources into the production of new capital. It is the labor, steel, and other inputs devoted to the construction of factories, warehouses, railroads, and other pieces of capital during some period of time.
c. Capital formation is synonymous with investment. It refers to the process of building up the capital stock.
d. Property rights are laws and/or conventions that assign owners the rights to use their property as they see fit (within the law)?for example, to sell the property and to reap the benefits (such as rents or dividends) while they own it.
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A demand curve represents a(n)
A) direct relationship between price and quantity demanded. B) direct relationship between price and demand. C) indirect or inverse relationship between price and quantity demanded. D) indirect or inverse relationship between price and supply.
For barter to occur there must be
A. no markets for people to exchange goods. B. one person who pays cash. C. services in exchange for goods. D. a double coincidence of wants for each good to be exchanged.