Question

Explain why "every production is organized by combining land, labour, physical capital and human capital"

Answer 1

These are the factors of production, we need land to set up our place for production and obtaining our raw materials, we need laborers to work in the factory or a palce of production, we obviously need physical capital such as machines, building, computer etc in producing a product, last but not the least we need human capital such as skills, knowledge.. To plan about the production and execute in a proper way...

Hope it helps you ✌️

Answer 2

Answer:

Fixed capital includes those assets which can be used over many years in the process of production like machines in factory, building, tools etc. ... The above points clearly show that every production is organized by combining land, labour, physical capital and human capital.