3.2 Flashcards
(7 cards)
1
Q
What is a market economy
A
A market economy is where buyers and sellers are allowed to trade freely.
2
Q
what is an example of a market economy
A
AUSTRALIA
3
Q
What are the factors of production
LELC
A
- land
-labour
-capital
-enterprise
4
Q
land=
A
-land= raw materials that come from nature
5
Q
-labour=
A
-labour= human work physical and mental
6
Q
-capital=
(MT)
A
-capital= things that people have made that are used in the production process
like machinery and tools.
P.S.= money is not capital resource because by itself it doesn’t make anything
7
Q
-enterprise
A
-enterprise= people called entreprenuers who use (CLL) to produce goods and services.
