Extra Questions Flashcards
0
Q
Why are entrepreneurs a special factor of production?
A
Because they improve the products to keep the business competitive and profitable
1
Q
Why is labor known as human capital?
A
Because the manpower development is investment
2
Q
What is economic system? Why is economic system important to a society?
A
An economic system is a system of production and distribution of goods and services as well as allocation of resources in a society. It is important because it determines how the resources in a society are divided up and helps to decide on questions like what to produce, how to produce and for whom to produce.
