Factors of Production

Land

Natural resources used in production (rent)

Labour

Human effort used in production (wages)

Capital

Artificial Goods used in labour (interest)

Enterprise

decision making and risk taking ability in a business (profit)

Quantity of Land

Increases with landreclamation and decreases with soil erosion

Quality of Land

Increase fertility of Land, Reduce pollution and Better drainage systems

Quantity of Labour

The number of people available to work

• School leaving age

• Retirement age

• Attitude to working woman

• Age structure

• Size of Population

The number of hours willing to work for

• Overtime

• Amount of time in holidays

• Number of hours lost in sickness

• Parttime/Fulltime

• Length of working day

Quality of Labour

Better Experience, Better Healthcare, Better Education, Better Training

Quantity of Capital

Higher investment

Quality of Capital

Technological advancements

Quantity of Enterprise

Better Education, Less taxation on firms, Reduced goverment regulations

Quality of Enterprise

better education, healthcare, training, experience