Question

The four factors of production (or types of resources) are

Answer 1

Answer:

b. land, labor, capital, and entrepreneurial ability is the correct answer.

Explanation:

Factors of production are needed in the production to produce goods and services.

The four factors of production are:

land: includes natural resources such as water, natural gas, forests, oil and coal which are used to produce finished products and service.

labor: it includes all human input.

Capital: refers to the manufactured resources and man-made resources such as machines, factories, computers, hammers.

Entrepreneurial ability.: is the willingness and ability to manage and develop a business plan along with any type of risk in order to get a profit.

Answer 2

Answer:

Correct answer is B.

Explanation:

Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship. The first factor of production is land, but this includes any natural resource used to produce goods and services.