ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Capital-An oven has been designed and produced to produce bakery products. Capital goods include machinery, tools, equipment, buildings, and technology. Mr. Green must also constantly upgrade his oven to maintain a competitive edge and operate efficiently in the market.

Detailed explanation-2: -You expend time and energy to mix the ingredients together (labor). You need a bowl, a whisk, a cake pan, and an oven (capital) to bake the cake. Someone used innovation and imagination to come up with the recipe, and you put in the effort to bring the other factors of production together (entrepreneurship).

Detailed explanation-3: -The factors of production are the inputs used to produce a good or service in order to produce income. Economists define four factors of production: land, labor, capital and entrepreneurship. These can be considered the building blocks of an economy.

Detailed explanation-4: -The factors of production are resources that are the building blocks of the economy; they are what people use to produce goods and services. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship.

Detailed explanation-5: -Land as a factor of production. As a factor of production, land can take on various forms-from raw property to commercial real estate. Labor as a factor of production. Capital as a factor of production. Entrepreneurship as a factor of production. 15-Feb-2021