Question

The process of production is determined by the ____________ which are the economic resources used for creating output.A) factors of productionB) consumer utilitiesC) national sovereigntiesD) labor and land

Answer 1

Answer:

The answer is letter A, factors of production.

Explanation:

In economics, the process of production refers to the combination of material inputs and immaterial inputs (the know-how) in order to produce an output that is required by the market. In order to determine the process, it is important to know the factors of production.

The factors of production are the inputs used in order to produce an output, goods or services. There are mainly four factors of production: land, labor, capital and enterprise.

1. Land - refers to the natural resources available for production.

2. Labor - refers to the human input into the production process.

3. Enterprise- refers to the entrepreneurs who organize factors of production and take risks.

4. Capital- refers to the goods used in the supply of other products.