Question

Q1. Briefly discuss the factors of production and their roles in economic systems.

Answer 1

Factor of production means input used in the production process to produce output.output means finished goods and services.hence in economics there are three types of factor of productions i.e land, labour and capital.these are primary factors .these factors facilities production.land reward is rental income, labour get wages, capital received interest.these factors are very important in economics because with the help of these factors entrepreneurs gets profit.