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Differentiate between: Capital and wealth - Economic Applications

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Question

Differentiate between:

Capital and wealth

Distinguish Between
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Solution

Capital Wealth
Capital refers to real capital, e.g., machines, factories, buildings, etc., which is further used in the production of other goods and services. Wealth refers to all economic goods which are scarce and command some price.
Only that part of wealth (consisting of producer goods) is called capital. Not all wealth can be considered capital.
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Chapter 1: Factors of Production - Exercise [Page 32]

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Goyal Brothers Prakashan Economics [English] Class 10 ICSE
Chapter 1 Factors of Production
Exercise | Q 16. (b) (i) | Page 32
Goyal Brothers Prakashan Economic Applications [English] Class 10 ICSE
Chapter 4 Factors of Production
QUESTIONS | Q 21. (b) (i) | Page 118
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