Economic Resources Flashcards
1
Q
Define resource (factors of production)
A
anything used in the production process, they are things or factors needed to make stuff
2
Q
Define the production process
A
the process by which producers make things
3
Q
What do economists refer to resources as
A
Factors of production
4
Q
Define factors of production (resources)
A
things we need to produce stuff
5
Q
State the four factors of production and define them
A
- Land - all physical land and all other natural resources
- Capital - the technology or machinery we use to make stuff. These are the things we need for production but we don’t sell
- Labour - human input
E.g. workers - Enterprise/entrepreneurship -combind the land with the capital and labour and organise these factors to produce something.
6
Q
Is the environment a scarce resource
A
Yes
