Factors of production
are the resources people use to produce goods and services; they are the building blocks of the economy. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship.
What is a human made resource that helps people create other goods and services?
Capital
– any human made resource that is used to produce other goods and services.
What are the resources used to make all goods and services?
4 Key Resources – The four basic kinds of resources used to produce goods and services:
land or natural resources, labor or human resources, capital, and entrepreneurship
.
What are the main factors for production of goods and services?
Factors of production are the resources people use to produce goods and services; they are the building blocks of the economy. Economists divide the factors of production into four categories:
land, labor, capital, and entrepreneurship
.
What are the 7 factors of production?
= h [7]. In a similar vein, Factors of production include
Land and other natural resources, Labour, Factory, Building, Machinery, Tools, Raw Materials and Enterprise
[8].
How do you describe an economy that uses its resources to make the greatest possible number of goods and services?
| Question Answer | How would you describe an economy that uses its resources to make the greatest possible number of goods and services efficient | What does a production possibilities frontier show the maximum amount that an economy can produce |
|---|
What is the most desirable alternative given up?
The most desirable alternative given up as a result of a decision is known as
opportunity cost
. Trade-offs are all the alternatives that we give up whenever we choose one course of action over others. Economists encourage us to consider the benefits and costs of our decisions.
Why are some goods and services scarce?
Scarcity always exists. There simply are not enough goods and services to supply all of society’s needs and wants. This is because the resources that go into making those goods and services are themselves scarce. … All goods and services are scarce because
the resources used to produce them are scarce
.
What are the 4 requirements for production of goods and services?
The four requirements of the production of goods and services are
land, labor, physical capital, and human capital
.
What two factors contribute to scarcity in the production of goods and services?
Limited natural resources and concentration of resources in a few hands
are two main factors that define scarcity.
What are the 5 factors of production?
The factors of production are
land, labor, capital, and entrepreneurship
.
What are the 3 basic economic questions?
- What to produce? ➢ What should be produced in a world with limited resources? …
- How to produce? ➢ What resources should be used? …
- Who consumes what is produced? ➢ Who acquires the product?
What are the six factors of production?
- natural resources. everything that is made of natural materials.
- raw materials. any good used in manufactoring other goods.
- labour. all physical and mental work needed to produce goods or services.
- capital. …
- information. …
- entrepreneurship.
Is a bank loan a factor of production?
In economics, capital typically refers to money. However, money
is not a factor of production
because it is not directly involved in producing a good or service. Instead, it facilitates the processes used in production by enabling entrepreneurs and company owners to purchase capital goods or land or to pay wages.
Why are all goods and services scarce quizlet?
Why are all goods and services scarce?
there are limited quantities of resources to meet our unlimited wants
and while one person may want to have a lot of something, no one can have an endless supply because sooner or later, a limit is always reached.
What is efficient allocation of resources?
The textbook definition. – An efficient allocation of resources occurs
when we produce the goods and services that people value most highly
. – Resources are allocated efficiently when it is not possible to produce more of a good or service without giving up some other good or service that is valued more highly.
