DEMAND FOR FACTORS OF PRODUCTION
LAND
Land is the natural resources on the planet. It includes space on the ground, hills, seas, oceans, air etc
LABOUR
Labour is the human input (workers, managers etc) into the production process. The UK has about 58 million people of which approximately 35 million are of working age.
Each individual has a different level of skills, qualities and qualifications. This is known as there HUMAN CAPITAL.
CAPITAL
Man made physical goods used to produce other goods and services.
Examples include machines, computers, tools, factories, roads etc.
Increases in the level of capital are called INVESTMENT
ENTERPRISE
The entrepreneur provides the initial ideas.
They risk their own resources in business ventures. They also organise the other 3 factors of production.
Land is the natural resources on the planet. It includes space on the ground, hills, seas, oceans, air etc
LABOUR
Labour is the human input (workers, managers etc) into the production process. The UK has about 58 million people of which approximately 35 million are of working age.
Each individual has a different level of skills, qualities and qualifications. This is known as there HUMAN CAPITAL.
CAPITAL
Man made physical goods used to produce other goods and services.
Examples include machines, computers, tools, factories, roads etc.
Increases in the level of capital are called INVESTMENT
ENTERPRISE
The entrepreneur provides the initial ideas.
They risk their own resources in business ventures. They also organise the other 3 factors of production.