Question

Which one of the following is a Stock Resource/factor of production?

• A. Labour
• B. Working Capital
• C. Entrepreneurship
• D. Land

Hint:

Resource Classification: Land = Stock (snapshot in time); Labor, Capital, Entrepreneurship = Flow (over a duration).

Answer 1

The Correct Option is D

Economic resources are classified as either stock or flow:
Stock Resource: Quantified at a specific point in time. Land exemplifies a stock resource as its existence is independent of time and it is not depleted through use like labor or capital.
Flow Resource: Measured over a period. Labor (hours worked), working capital (utilized over time), and entrepreneurship (managerial effort over a duration) are examples of flow resources. Thus, only land constitutes a stock resource among the provided options.