Question

When economists talk about the capital resources in the economy, they are referring to the amount of money circulating in the economy.
True / False.

Answer 1

Answer:

FALSE

Explanation:

The concept of capital for economists is broader. For money in circulation in the economy, the concept of financial capital is used. However, the concept of capital is also used to define, for example, industrial capital in the form of machines, equipment, tools, etc.