Factors Of Production And Resources

Question 1

What are the 4 factors of production?

Answer 1

Land, Labour, Capital and Enterprise

Question 2

What are land resources?

Answer 2

Natural resources on the planet, these include produce obtained from oceans and rivers

Question 3

What are labour resources?

Answer 3

Human resources used to produced goods and services , in the UK there are 32million workers involved in the production process

Question 4

Whhat are captial resources?

Answer 4

Items used by labour in the production process, examples include - factories, machines, roads and computers

Question 5

What is enterprise?

Answer 5

The individual or group or individuals prepared to take a risk and combine the 3 other factors of production

Question 6

What happens in a command economy?

Answer 6

The key decisions regarding resource allocation are all made by the government.
They decide what to produce and determines the price of goods and are likely to dictate wages

Question 7

What happens in a mixed economy?

Answer 7

Both markets and governments play a role in resource allocation. Governments intervene when markets fail to prodice desirable outcomes. The government sector is known as the public sector… while other economic agents constitues the private sector

Question 8

How is land paid for?

Answer 8

Rent

Question 9

How is labour paid for?

Answer 9

Wages/Salaries

Question 10

The payment for captial is?

Answer 10

Interest