ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Entrepreneurs are important because they are the ones taking the risk of the business and identifying potential opportunities. The income that entrepreneurs earn is called profit.

Detailed explanation-2: -An entrepreneur is a person who combines the other factors of production-land, labor, and capital-to earn a profit.

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: -Land, Labour, and Capital are the main factors of production. The entrepreneur is the one that combines these factors in the correct proportion and mobilizes them. Let us learn more about entrepreneurs and their main functions.

Detailed explanation-5: -Explanation: In production function, an entrepreneur is a person who makes decisions and takes risks. Entrepreneur is generally a person who sets up his own business and take on monetary risks in the hope of profit.