Question

Which of the following is not considered as a factor of production?

Answer 1

Answer:

Money is not considered as a factor of production. Money is medium of exchange and hence it cannot help to increase the productivity of an economy like other factors of production, thus the factors of production are Land, Labour, Capital and Entrepreneurship.

Answer 2

The answer is money:

Explanation:

• Money is not considered a production component.
• Money is a vehicle of trade and hence, unlike other factors of production, it cannot assist an economy to my enhance its productivity.
• The components of production are Land, Labor, Capital, and Entrepreneurship.
• The factors of production are a key economic term that describes the components required to create a product or service for sale.