Question

Which is a stock variable? A) Labor B) Profit C) Income D) Capital

Which is a stock variable?

A) Labor

B) Profit

C) Income

D) Capital

Homework Answers

Answer #1

stock variable is nothing but a variable that is acquired by inflows and usually depleted with increase in output and in this regard labour is not depleted, is not incurred by inflows and profit is also not incurred by inflows and outflows and that is the reason why

(A,B,C) are wrong

capital can be considered as a stock variable because it is usually acquired by inflows and with increasing the output and time it usually depletes on the whole

Therefore (D) is the answer to this question

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