Question

what is production factor ​

Answer 1

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.

Answer 2

Answer:

As per the provided Question, I'll give the Explaination , the answer , types and information. Thanks for asking this question . I think so this question is from class 9 . Ok let's start.

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• From class IX
• Subject- Economy
• Lesson- 1
• Chapter Name - The story of Palampur

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Let us first understand about production first-

First of all let's take an example:-

1. An example of production is the creation of furniture.
2. An example of production is harvesting Wheat to eat.

Production:-

• Combining various inputs to make something for consumptions is called production.

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• Anything that helps in production is the factor of production.

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See in the attachment, the types are given as :-

There are four factors of production -

• land
• labour
• Capital
• Human Capital

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Land:-

It is defined so as to include not only the surface of the Earth but also all the other gifts of nature.

Labour:-

Labour consists of all human efforts of the body or mind which are undertaken in the expectation of reward.

Capital:-

Capital is known as the produced means of production.

First, it is created by man and is not a gift of nature. Second, it is a means of production and used as an input in producing other goods. Such type of goods is not directly consumed.

Human capital:-

A human capital is a person who carries the risk of business and coordinates the activities of all the other factors of production.