Factors of prodution

By Songezo Hlalekhaya

Factors of production

Factors of production are resources or inputs that are used in the production process in order to produce an output. The are four factors of production involved when a product is being produced namely. Land, entrepreneurship, labor and capital

Factors of Production (These are the resources used to make all goods &

services)

            Land- All natural resources used to produce goods and services.

Example: Fertile land, products that are in or on the land, such as coal, water, and forests.

            Labor- Effort that a person devotes to a task for which the person is paid.

Entrepreneurship- The person who comes up with an idea to add all the three factors of production to produce a final product

 After learners have understood these concepts they will be able to start to do activity. in the Activity learners will be required to know each factor of production and its rewards. The following are the question that learners need to answer

1. Explain the four factors of production and give each factors of production rewards

• Land are natural resources that are extracted from nature. The rewards for land is rent
• Labor is an physical and mental input of human being. The rewards for labor is wages and salaries..
• Capital is are the machinery or funds that are invested in production process. The rewards for capital is interest.
• entrepreneurship is a person who organize all the factors of production to produce a product . The rewards for entrepreneurship is profit.

A memorandum will be used to mark the work of each learner

I am glad you seem to be enjoying the topic but what I have notice is that some of the learners still struggle with the remunerations of each factors of production. So I would you again to visits your note again.

I am Songezo Hlalekhaya a a very proud teacher of Economics. I enjoy teaching economics ,according to me I believe that all learners were suppose to be doing economics. Because economics is a subject that teaches an individuals about the realities of this world. It also help an individual to be able to make  wise decisions.

Today we are doing factors of production. This is a very interesting topic as it is something that happens everyday,I am very happy to be teaching this topic and I hope my learners will love it too