The first factor of production is land, but this includes any natural resource used to produce goods and services Brainly User Brainly User ... Get the Brainly App Market- The healthy competition. These factors of production are as follow: Land- Land and other natural resources. It refers to all natural resources. Land. Labour- the people who do the work. According to Eraser, “Factor of production as a group or class of original productive resources.” The production process of an organization can be efficient, if there is an optimal use of factors. The utilized amounts of the various inputs determine the quantity of output according to the relationship called the production function. Their ownership and value are the bedrock of any economic system. Factors of production are the inputs needed for the creation of a good or service. Types of Factors of Production. Exercise. Therefore, all the four factors of production are equally important for the production activity of an organization. Capital—Investment required in the business and the various inputs required at every stage. Factors of production have been categorized into four types. There are four main factors of production which include; Land, Labor, Capital and Entrepreneurship. The factors of production are land, labor, capital, and entrepreneurship. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship. factors of production, resources, or inputs are what is used in the production process to produce output—that is, finished goods and services. The 4 factors of production are land, labor, capital, and entrepreneurship. The four factors of production are inputs used in various combinations for the production of goods and services to make an economic profit. One uses the land to produces goods. In the modern economy, economists classified these factors into two categories. To put it in different terms, the factors of production are the inputs needed for supply. Four Factors of Production - A Practical Exercise: The following exercise is designed to help students identify the four factors of production in a real-life context. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship. Labor is the effort that people contribute to the production of goods and services. There are four factors of production which are prevailed in Palampur. The factors of production include land, labor, entrepreneurship, and capital. The first factor of production is land, but this includes any natural resource used to produce goods and services.The second factor of production is labor. Economists divide the factors of production into four categories: land, labor, capital, and entrepreneurship. 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