1. Labor is an unlimited resource. False Labor is a limited resource because if people stop working or a machine stops producing then labor will run out. If labor stops, it is a limited resource.
2. In economic terms, “land” refers only to physical plots of ground. False Within economics, land refers to land, labor and capital. All three components are necessary when referring to classical economics. Within modern economics, land refers to all products that come from nature, not just the physical plots of ground.
3. While we talk about the stock market as if it were one big entity, the reality is that there are many stock markets around the world. True Different countries have their own stock market that is relevant to products they create. A stock market shows the aggregation of buyers and sellers of stocks in which they represent different businesses in the form of stocks or securities.
4. A share of ownership in a company is known as which of the following? Stock. A stock is ownership stakes that individuals have within a company or cooperation. If the company is doing well, their stock holders will make money because they are shares of the company.
