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Consider two options to earn $100

option 1 is that you go work somewhere for 10 hours at $10 per hour.

option 2 is that you invest $10000 for 6 months at 2% per year.

option 1 is labour intensive, someone (you) had to work (labour) for that money.
option 2 is capital intensive, nobody worked - but you had to have the money (capital) to earn more.

2007-10-03 16:46:48 · answer #1 · answered by CoachT 7 · 0 0

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