using resources in such a way as to maximize the production of goods and services is called. efficiency .
What is it called when you use resources to produce the maximum amount of goods and services?
using resources in such a way as to maximize the production of goods and services is called. efficiency .
What term describes a condition in which resources are used to maximize the production of goods and services?
Productivity – The relationship between the output of goods or services and the input of resources. Profit Maximization – When the producer strategically chooses to produce one product because it provides him/her with the most total revenue at the least total cost, including opportunity cost.
What is the economic term for goods or resources that are used in making other goods and services?
| A B | Capital Resources Goods produced and used to make other goods and services. | Natural Resources “Gifts of nature” that are present without human intervention (ex. land) | Human Resources The knowledge, efforts, and skills people bring to their work, also known as labor. |
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Which of the following is an economic resource?
Land, labor, capital, and entrepreneurial ability which are used in the production of goods and services. They are economic resources because they are scarce (limited in supply and desired). Also called the factors of production.
What is the use of resources in such a way as to maximize the output of goods and services?
1. Efficiency – using resources in such a way as to maximize the production or output of goods and services.
What are the three 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 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 means through which goods and services are produced?
| A B | Economic Resources aka factors of production – Means through which goods and services are produced | Opportunity Cost What you give up when you make one choice over another; value of the next best alternative that you did not choose |
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What is the most important resource for producing goods and services in the new economy?
The factors of production are land , labor, capital, and entrepreneurship, which are seamlessly interwoven together to create economic growth. Improved economic growth raises the standard of living by lowering production costs and increasing wages.
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].
What are the four factors of production mention their rewards?
When factors are used they earn a reward called a factor ‘income’. Factor incomes are: rent, wages, interest and profit . In basic economic theory, the more scarce and essential the factor the greater the reward. Factors can be substituted when possible, and this affects the relative reward.
What are the five factors of production?
The factors of production include land, labor, entrepreneurship, and capital .
What are the five economic resources?
There are four economic resources: land, labor, capital, and technology . Technology is sometimes referred to as entrepreneurship. Natural resources that are used in the production of goods and services. Some examples of land are lumber, raw materials, fish, soil, minerals, and energy resources.
What is the most important economic resource?
In fact, human resources are our most important economic resource. They combine the other resources to produce goods and services.
What are types of resource?
- Natural Resources. All things and resources that are naturally abundant are referred to as natural resource. ...
- Manmade Resources. These refer to resources that are produced by humans from already available natural things. ...
- Human Resource.
