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7nadin3 [17]
3 years ago
12

Directions: Respond to the question by writing in complete sentences and using academic

Social Studies
1 answer:
Andrews [41]3 years ago
8 0

Answer and Explanation:

Factors of production are resources or inputs put into the production of goods and services. There are four factors of production. They are: land, labour, capital and entrepreneurship

Land is considered a non depreciablle factor of production. It refers to all natural resources or gifts of nature and income from it is called rent.

Labour is human capital or input in production example workers in a factory

Capital is man made goods utilized to produce other goods

Entrepreneurship/entrepreneur is the factor of production that organizes the other factors of production and carries the economic risk

From the example, the factors of production include:

The forest with all the wood which falls under land factor of production.

Bill who falls under labour factor of production

His father's chainsaw which falls under capital factor of production

Bill's idea to use logs of wood for Christmas tree business constitutes entrepreneurship and Bill is also the entrepreneur here. This falls under the entrepreneurship factor of production

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