Which of the following statements about factors of production is the most accurate?
Parker asked:
A.The five factors of production are energy, capital, labor, leadership and money.
B.Wealth creation in poor nations is slowed by chronic shortages of labor.
C.Each of the factors of production is equally important in creating wealth.
D.Entrepreneurship and knowledge are the most important in creating wealth.
Alston
A.The five factors of production are energy, capital, labor, leadership and money.
B.Wealth creation in poor nations is slowed by chronic shortages of labor.
C.Each of the factors of production is equally important in creating wealth.
D.Entrepreneurship and knowledge are the most important in creating wealth.
Alston
December 17th, 2008 at 10:46 am
I’d say A. B doesn’t sound right because even in 3rd world countries there are tons of people who can work. C and D sound like opposites, but D sounds more correct. But D is about wealth and the question is about production. I can’t see how each factor is equally important, so I say A.