AS EconomicsEconomic Resources

Scarce or not so scarce?

Objectives

• Revise the idea of resources• Know what a factor of

production is• Be able to explain the

different factors of production and their rewards

Factors of production

• The different resources available to produce goods and services in an economy

• Can be tangible or non-tangible

List everything that went into making:

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.

• Each individual has a different level of skills, qualities and qualifications.

Capital

• Man made physical goods used to produce other goods and services.

• Examples include machines, computers, tools, factories, roads etc.

Enterprise

• The entrepreneur provides the initial ideas.

• They risk their own resources in business ventures. They also organise the other 3 factors of production.

Factors of production

• Organise the different resources for your sweet into the factors of production on your sheet?

• Write down what you think the reward of payment for each factor is

LandLabour

CapitalEnterprise

Objectives

• Revise the idea of resources• Know what a factor of

production is• Be able to explain the

different factors of production and their rewards