Main economic groups and factors of production Flashcards
Consumer
A person or organisation that directly uses a good or service
Good
A tangible product i.e. something that can be seen or touched
Government
A political authority that decides how a country is run and manages its operations
Producer
A person, company, or country that makes, grows, or supplies a good or service
Service
An intangible product i.e. something that cannot be seen or touched
Production
The total output of goods and services produced by a firm or industry in a period of time
Definition of the Factors of production?
The resources in an economy that can be used to make a good or service
What are the factors of production?
Land, Labour, Capital, Enterprise
Labour
The factor of production that’s concerned with the workforce of an economy in terms of both the physical and mental effort involved in production
Land
The factor of production that is concerned with the natural resources of an economy
Capital
The factor of production that involves with the human-made aid to production
Enterprise
The factor of production that takes a risk in organising the other three factors of production. Someone who does this is called an entrepreneur
