Factors of Production Quiz

Which of the following best describes labor as a production factor?

• The physical and mental effort used in the production process

• The machinery and tools used in production

• The financial resources used to start a business

• The natural resources extracted from the earth

In the context of the factors of production, what does entrepreneurship primarily involve?

• Providing the land for production

• Supplying the labor for production

• Combining resources to create goods and services

• Offering financial capital for production

What is a key characteristic of labor as a factor of production?

• It is a natural resource

• It involves human effort

• It is a form of capital

• It is a managerial activity

Which of the following is NOT considered a factor of production?

• Land

• Labor

• Money

• Entrepreneurship

Entrepreneurship in production primarily involves:

• Providing the physical effort needed for production

• Supplying natural resources for production

• Organizing and managing the other factors of production

• Offering financial capital for production

How does land contribute to the production process?

• By providing human effort

• By offering financial investment

• By supplying natural resources

• By managing production activities

What is the primary role of land in the economy?

• To provide labor for production

• To offer natural resources for production

• To manage and organize production

• To invest capital in production

Which factor of production is most directly associated with innovation and risk-taking?

• Land

• Labor

• Capital

• Entrepreneurship

Which of the following questions is NOT one of the three basic economic questions?

• How should goods and services be produced?

• For whom should goods and services be produced?

• How should the government regulate the economy?

• What goods and services should be produced?

Which of the following is one of the three basic economic questions?

• How much money should be printed?

• What goods and services should be produced?

• How should natural resources be conserved?

• What is the role of government in the economy?