USA HISTORY

Detailed explanation-1: -Key Takeaways. Factors of production is an economic term that describes the inputs used in the production of goods or services to make an economic profit. These include any resource needed for the creation of a good or service. The factors of production are land, labor, capital, and entrepreneurship.

Detailed explanation-2: -Productive resources are the natural resources, human resources, and capital goods available to make goods and services. Natural resources, such as land, are “gifts of nature; ” they are present without human intervention.

Detailed explanation-3: -Entrepreneurs are the people who combine the other factors of production – land, labor and capital – to generate profit.

Detailed explanation-4: -Land is the natural resource that an enterprise uses to produce goods and services to generate a profit. Land is not just restricted to the physical property or real estate. It includes any natural resources the land produces, such as crude oil, coal, water, gold or natural gas.

Detailed explanation-5: -Capital resources are the man-made tools, factories, machinery and chemicals used to produce final goods and services. Entrepreneurs are people who develop ways to combine the other productive resources to produce goods and services. They take financial risks to bring these goods and services to market.