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प्रश्न
What do you understand by the term 'Capital formation'?
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उत्तर
- Capital formation is a crucial aspect of economic development, representing the creation of capital.
- In simple terms, it involves making and increasing capital goods like machines, tools, factories, and buildings, essential for producing more goods.
- Importantly, capital formation does not signify an increase in monetary capital; rather, it refers to the growth of physical capital, including machinery, factories, transport equipment, infrastructure like bridges, power projects, dams, and irrigation systems.
- In essence, capital formation implies the creation of tangible, real assets, playing a vital role in fostering economic development.
संबंधित प्रश्न
Primary factors are
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Name the factors of production.
Match the following and select the correct option.
| Factor of Production | Reward of factor of production | ||
| (i) | Land | (A) | Wage |
| (ii) | Labour | (B) | Profit |
| (iii) | Capital | (C) | Rent |
| (iv) | Entrepreneur | (D) | Interest |
All factors of production are equally mobile.
Match the following:
| Factor of Production | Characteristic |
| A. Land | (i) Subject to depreciation |
| B. Mannual labour | (ii) Risk and Bearing |
| C. Capital | (iii) Permanent |
| D. Entrepreneur | (iv) Involves physical work |
Choose the correct alternative:
Why is capital called a 'produced means of Production?
Which statement best represents "Capital" in production?
Who is called an "Entrepreneur" in the factors of production?
Why are all four factors (Land, Labour, Capital, Entrepreneurship) important?
