Factors of production

Question 1

Factors of production

Answer 1

• Land
• Labour
• Capital
• Enterprise

Question 2

tele factors

Answer 2

• Technology-online shopping, advertisements, interaction with customers, working from home
• Economy- tax vat, consumer spending
• Legislation- laws, e.g. rule of 10pm curfew
• Environment- the pollution and just consideration,

Question 3

what is land

Answer 3

LAND- any natural resources, non-renewable- gas, oil, coal. Renewable power such as wind/waterpower or wood. Wind turbine

Question 4

what is labor

Answer 4

• LABOUR- work done by people, physical or mental effort.
• Builder physical effort.
• Architect mental effort since you have to think.

Question 5

what is capital

Answer 5

CAPITAL- machines, equipment and tools, vehicles buildings. Tools you use to produce the product

Question 6

what is enterprise

Answer 6

ENTERPRISE – the innovator, taking risks, using all the other factors of production to create products. Like they employ workers. Farmer, tractor capital, land the farm, labor driving the tractor.

Question 7

What is opportunity cost

Answer 7

Opportunity cost is the benefit that’s been given up in order to do something else.