Which of the following is an example of a capital resource?

• A. horse
• B. time
• C. coal
• D. machinery

Answer: (D)

Verified step by step guidance

1. Understand the definition of a capital resource: In microeconomics, capital resources (or capital goods) are man-made goods used to produce other goods and services. They are not finished products but tools, machinery, buildings, or equipment used in production.
2. Analyze each option to determine if it fits the definition of a capital resource:
3. - Horse: This is a natural resource or labor input, not man-made, so it is not a capital resource.
4. - Time: This is a factor of production related to labor or opportunity cost, but not a physical capital good.
5. - Coal: This is a natural resource (raw material), not a capital good.
6. - Machinery: This is a man-made tool used in production, fitting the definition of a capital resource.