Answer:
Money is not considered a capital resource because money is not productive. It provides access to resources but itself does not directly contribute to the production of goods and services.
Entrepreneurial ability does directly produce goods and services; it organizes the resources that do. Entrepreneurs are risk-takers.
Explanation:
Answer:
C : 3
Explanation:
Specifically, the following measures will have a positive effect on growth:
1: Reducing corruption in the legal system.
2: Encouraging trade with neighbouring countries, and
3: Increasing the fraction of GDP devoted to consumption.
The financial system sees commercial enterprise cycle fluctuations in preference to slow, easy boom is a crucial trouble of Economic shocks.
The required details for Economic shocks in given paragraph
An financial surprise refers to any extrude to fundamental macroeconomic variables or relationships that has a considerable impact on macroeconomic effects and measures of financial performance, which includes unemployment, consumption, and inflation. Shocks are regularly unpredictable and are generally the end result of occasions concept to be past the scope of regular financial transactions. Economic shocks have full-size and lasting outcomes at the financial system, and, in accordance to actual commercial enterprise cycle theory (RBC), are concept to be the foundation purpose of recessions and financial cycles. Economic shocks are random, unpredictable occasions which have a full-size effect at the financial system and are due to matters outdoor the scope of financial models.
Economic shocks may be labeled with the aid of using the financial area that they originate from or with the aid of using whether or not they mainly affect both deliver or demand. Because markets are connected, the outcomes of shocks can pass via the financial system to many markets and feature a main macroeconomic effect, for higher or worse.
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The type of mutual fund to select depends on the person's goals and attitude towards risks. Generally, mutual funds are a pool of paper assets of different people that is managed by fund managers as they buy stocks from investments in the market.
There can be three types of source of mutual fund: stocks, bonds and balanced fund. Stocks are shares of big companies, say for example, Proctor & Gamble. They sell their shares to the market that is open to all potential investors. When a fund manager buys shares, he becomes a co-owner of the company. Thus, if the profit of the company increases, you are also given with additional dividends. However, the risk is high because if the company goes bankrupt, you lose your money. Bonds are owned by government agencies that are open to the public to borrow their money to be used on projects for the country. This is low risk because the government promises to return the amount of money borrowed plus a fixed interest. Balanced fund is the median of both because fund managers source their mutual funds both on stocks and bonds.
So, if you are aggressive, then stocks are fit for you. If you are conservative, better stick with bonds because there is a guarantee. If you are a mix of both, balanced fund is your option.
An example is driving only while wearing corrective lenses for eyesight. This is to ensure the driver can see the road and the other cars and pedestrians clearly to ensure his/her own safety and that of other drivers and pedestrians on the road.
