Question

state the factors of production and describe them?

Answer 1

There are many factors which affect like rate of the grains ,conditions the weather,political conditions and many more.

I hope helps you

Answer 2

Answer:

$\rm{\underline{Factor \: of \: production:-}}$

Anything that helps in the process of production of a commodity or service is called a factor of production. All those things which help in production are generally grouped into two parts:-

(I) Factor inputs

(II) Non-factor inputs

$\rm{\underline{Factor \: inputs:-}}$

This is popularly known as factors of production which are of permanent nature. They are used to convert intermediate goods into finished goods . They are the basic factors of production which are used in the product process.

$\rm{\underline{Non-factor \: inputs:-}}$

This inputs consist of intermediate goods e.g., raw material, fuel, etc. Factor inputs are applied to convert them into finished goods. For instance, raw cotton is an intermediate good. When labour and capital are applied on it, it gets converted into Cotton yarn – a finished product.

• Remember, Non-factor inputs are of perishable nature. They generally lose their identity in the production process.

$\rm{\underline{Basic \: factors \: of \: production:-}}$

• Land:- Land is one of the most important factors. It is basic factor of production. Land is defined to include not only the surface of Earth but also ask other free gifts of nature.
• Labour:- Labour is another basic factor of production. In fact, land or any other factor, valuable it is, is of little use unless labour is applied. By labour, we mean all types of human work – physical or mental – done with a view to earn income.
• Capital:- Capital is that part of wealth which can be used for further production of wealth. It consists of all kinds of wealth, other than free gifts of nature, which yield income.
• Organisation:- Organisation refers to the services of an entrepreneur who controls, organises and undertakes all risks. One who plans, organises and manages a business enterprise is an organiser.