Main economic groups and factors of production (1.1) Flashcards
What is a consumer
a person or organisation that directly uses a good or service
what is a good
a tangible product
what is the government
a political authority that decides how a country is run and manages its operation
what is a producer
a person, company or country that makes,grows or suplies goods and/or services
what is a service
an intangible product
what is production
the total output of goods and services produced by a firm or industry in a time period
what is interdependence
groups respond to the actions of other groups, in economics the government &producers &consumers all interdepend
what are the factors of production
land, labour, capital, enterprise
What is land (FofP)
refers to the natural resources in an economy. All raw materials eg. oil coal trees
what is labour (FofP)
refers to the human resources that are available in an economy. Physical and mental effort involved in production
what is capital (FofP)
refers to human-maid aids for p[production (machinery)
what is enterprise (FofP)
the factor of production which involves taking a risk in organising the other three factors of production.
