The main factors of production are as follows: Land: This refers to all natural resources used in production , including land itself, as well as any minerals, water, forests, or other resources that are found in or on the land. Land is often considered a fixed factor because its supply is generally limited. Labour: Labour includes the physical and mental effort exerted by individuals in the production process. It encompasses the skills, abilities, and time contributed by workers. Labour is a ... Factors of Production – Meaning, Types, and Features What are the Factors of Production ? Factors of production in economics refer to the inputs one needs to make or produce a good or service. For any investor or business, it is very important to know the factors of production , as those who control these factors usually command more wealth. Published Mar 3, 2023 Definition of Factors of Production Factors of Production are the inputs that are used in the production of goods and services in order to create wealth. They include natural resources, labor, capital, and entrepreneurship. These factors are combined together to create goods and services that are generally sold to consumers. Each factor of production plays a unique role in the production process and has its own set of characteristics and requirements. Example To give an ... In this article we will discuss about Factors of Production . After reading this article you will learn about: 1. Classification of Factors of Production 2. Importance of Factors of Production . Classification of Factors of Production : A factor of production may be defined as that good or service which is required for production . A factor of production is indispensable for production because without it no production is possible. It is customary to attribute the process of production to three ...
