Economics of Resources

Questions and Answers

What is the main characteristic of natural resources?

They have no economic value

They can be used only after patenting

They are created through human inventions and discoveries

They are drawn from nature and used without much modification (correct)

What is the result of the invention of the wheel?

Development of newer modes of transport (correct)

Creation of hydroelectricity

Patenting of home remedies

Discovery of fire

What is the term for the exclusive right over any idea or invention?

Patent (correct)

Resource

Development

Value

What is the primary difference between renewable and non-renewable resources?

Renewable resources can be replenished quickly, while non-renewable resources take thousands of years to be replenished. Signup and view all the answers

What is the role of technology in creating resources?

It helps to modify natural resources into usable resources Signup and view all the answers

What is the classification of resources that get renewed or replenished quickly?

Renewable Signup and view all the answers

What is the term for the application of latest knowledge and skill in doing or making things?

Technology Signup and view all the answers

What is the most important resource?

People themselves Signup and view all the answers

Which of the following resources is an example of a renewable resource that can be affected by human activities?

Water Signup and view all the answers

What is the result of the discovery of fire?

Practice of cooking and other processes Signup and view all the answers

What is the main reason why coal, petroleum, and natural gas are considered non-renewable resources?

They have a limited stock and take thousands of years to be replenished. Signup and view all the answers

What is the common characteristic of resources like affection from friends and family, and beautiful scenery?

They are regarded as having no commercial value. Signup and view all the answers

What is the term for resources that are created by humans?

Human-made resources Signup and view all the answers

Which of the following statements is true about water?

Water is a renewable resource that can be affected by human activities. Signup and view all the answers

Study Notes

Value and Resources

Value refers to the worth or importance of something.
Resources can have economic value, but not all resources are economically valuable.
Some resources may become economically valuable over time.

Resources

Resources can be classified into natural, human-made, and human resources.
Natural resources are drawn from nature and used with minimal modification.
Examples of natural resources include air, water, soil, minerals, and solar and wind energy.
Natural resources can be further categorized into renewable and non-renewable resources.

Renewable Resources

Renewable resources are those that can be replenished quickly.
Examples of renewable resources include solar and wind energy, water, soil, and forests.
However, careless use of renewable resources can affect their availability.

Non-Renewable Resources

Non-renewable resources are those with a limited stock that can take thousands of years to replenish.
Examples of non-renewable resources include coal, petroleum, and natural gas.

Human Resources

Human resources refer to the skills, knowledge, and ideas of people.
People are the most important resource, as they lead to the creation of more resources.
Examples of human resources include intelligence, medical knowledge, affection, and resourcefulness.

Technology

Technology refers to the application of the latest knowledge and skills in doing or making things.
Technology can change substances into resources, and is related to the needs of people.