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Economics

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Economics
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  • I 've always wondered how goods get made by companies in these factories
  • Why don't we find out? Let's ask for a look around.
  • Capital is also divided into three categories: human, physical, and financial
  • Thanks for giving us a tour. What exactly goes into making these goods?
  • All production starts with land, labor, capital, and entrepreneurship
  • Land is all of the natural resources found on Earth.
  • That's all correct! and entrepreneurship is the innovation, skill, vision, and creativity required to start a business
  • Would examples be minerals, oil, woods and animals?
  • Thank you for the look around! Now we can understand of how
  • Does that mean that capital is the resources used by humans for more efficency?
  • Yes! And labor is time, workers, and effort that humans put into making all goods and services.
  • Yes! Physical capital is the physical resources available to a business
  • So that would mean human capital is the experience that result in knowledge or skills to produce goods and services?
  • Oh! So entrepreneurs must combine all four factors of production to drive the economy!
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