1.3 Economic resources

Question 1

production

Answer 1

a process or set of processes, that converts inputs (of factors of production into a firm, business or enterprise) into output of goods or services (for sale in markets).

Question 2

capital good

Answer 2

a good which is used in the production of other goods or services (producer good) e.g machinery, buildings, facilities and equipment.

Question 3

consumer good

Answer 3

a good which is consumed by individuals or households to satisfy their needs or wants

Question 4

factors of production

Answer 4

Capital
Enterprise
Land
Labour

Question 5

entrepreneur

Answer 5

financial risk taker and decision maker.
-address issues introduced earlier
-decide what to produce
-how to produce
-whom to produce
-how much of the other factors of production required

Question 6

environmental resources

Answer 6

part of the FoP land:
-physical resources e.g soil, water, forests, fisheries, minerals
-gases e.g hydrogen and oxygen
-abstract resources e.g solar and wind energy, beauty of the landscape, good air and clean water

Question 7

finite/ non-renewable resources

Answer 7

a resource, such as oil, which is scare and runs out as it is used. also known as non-renewable resource

Question 8

renewable resource

Answer 8

a resource, such a timber, that with careful management can be renewed as it is used