ECO-The factors of production, page no 9-10

The production of any goods or service requires, known as the factors of production, which are divided into four categories. They are:

• Land: Land is used for different purposes such as agriculture, forestry, mining, building houses, roads and setting up of industries. This is commonly termed as Land use.

• Labor: Labor is the use of mental, physical and intellect of a person to produce goods or services for money.

• capital: the physical or financial resources used to produce value in an economy.

• Enterprise: an organizational unit producing goods or services which has a certain degree of autonomy in decision-making.

  
  

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