The Capital Revolution

Running head: THE CAPITAL REVOLUTION
The Capital Revolution
Name of the Student
Name of the University
Course ID

THE CAPITAL REVOLUTION1
Table of Contents
Question 1........................................................................................................................................2
Question 2........................................................................................................................................2
Question 3........................................................................................................................................4
Question 4........................................................................................................................................5
Question 5........................................................................................................................................6
References........................................................................................................................................7

THE CAPITAL REVOLUTION2
Question 1
A) The main economic agents are household, business, firms, individual and government.
B) A firm refers to way of organizing production process having some specific characteristics.
C) All the people staying under one roof and acts as a single decision maker is known as
household.
D) Government is an economic entity that sets economic rules, set regulation, collect tax and
spend the collected money.
E) Market in economics signifies an arrangement where sellers and buyers come in direct contact
and exchange goods or service1.
F) Private property implies a legal designation signifying ownership of particular property by
legal non-governmental entity.
Question 2
Table 1: 90/10 Income Ratio in 1980, 1990 and 2014
90/10 Income Ratio
1980 1990 2014
Australia 7.5 8.6 9.0
United State 11.2 14.3 16.0
France 7.9 9.1 8.4
China 6.6 23.3 41.7
Liberia 57.4 57.4 58.5
1 Goodwin, Neva, et al. Macroeconomics in context. Routledge, 2015