Topic Two (1.2): The Factors of Production

Introduction

This topic’s big question is: What are the four factors of production?

What do I need to know?

• Definitions and examples of land, labour, capital and enterprise
• The influence on the mobility of each factor of production

Read

This topic covers pages 6-9 of your coursebook. Start by reading your book so that you have a basic understanding and then complete the following activities:

Tasks

Watch this introductory YouTube video on The Four Factors of Production:

Interact

Complete the following worksheet on The Factors of Production, using the links below for supplementary videos:

COMPLETE – Topic 1.2 Worksheet Download COMPLETE – Topic 1.2 Worksheet

Links

This YouTube video explains the Rewards to the Factors of Production and will help you to complete the table in Section 2:

If you need a further explanation of mobility of factors of production, watch this YouTube video entitled Economics Factor Mobility:

Qatar is an excellent example of how you can change the quantity and quality of your factors of production. Have a read:

READ – Economy of Qatar (Britannica) Links to an external site.

Extension

Try this exam question: 

Explain two factors of production used by a car manufacturer. (4 marks)