Capital Resources | Derived demand | Entrepreneur | Factors of Production | Human Resources | Interest | Interest-reward for capital resources | Natural Resources | Non-Renewable Resources | Profit | Profit-reward for entrepreneurship | Renewable Resources | Rent | Rent-reward for natural resources | Resources | Wages | Wages-reward for human resources
Which factor is the reward wages paid for?
Which of these resources are limited (finite)? (i) Natural resources (ii) Capital resources (iii) Human resources and entrepreneurship
(i), (ii) and (iii). The factors of production (resources) are all limited or finite, relative to the unlimited desires (wants) of society.
Define the term entrepreneur.
Individuals who take risks and organise the factors of production e.g. owner of a factory.
Distinguish between entrepreneurship (enterprise) and labour.
Enterprise requires an element of risk taking/organises the resources for profit, while labour is the human effort that earns wages.
Explain the term non-renewable resources.
Idea how resources that once they are used, are gone forever (exhaustible) e.g. oil, minerals. (This can apply to resources that take a long time to regenerate).
The economic term for individuals who take risks and organise the factors of production e.g. owner of a factory is?
Define the term human resources.
The work and effort of people, e.g. driver, worker.