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Answer :
Final answer:
Factors of production can be categorized into labor, capital, and natural resources. Each example provided fits distinctly into one of these categories based on its role in the economy. This classification helps understand how different resources contribute to production.
Explanation:
Classification of Economic Factors
In economics, factors of production are classified into three categories: labor, capital, and natural resources. The examples provided can be categorized as follows:
- Natural Resources: These are raw materials found in nature that are used to produce goods and services.
- crude oil
- cotton
- gold
- copper
- sand for micro chips
- a river
- Capital: This includes man-made resources that are used in the production of goods and services.
- high rise office building
- chemists lab
- office phone system
- a tractor
- construction worker
- a school’s computer system
- a taxi
- Labor: These are individuals involved in the production of goods and services.
- owner of bank
- Steve Jobs & Mark Cuban
- a salesperson at Macy's
- owner of a landscape firm
- taxi driver
- a computer programmer
- police officer
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