Factors of Production

Economic Resource (input)                       |     Reward/Income of factor/cost of factor

Land (natural resource)                             |          rent

Labour (human resource)                          |          wage or salary

Capital (man-made resource)                    |          interest

Enterprise/Entrepreneur (human factor)    |          profit

 

Durable good: a long lasting good. It provides utility for a long period of time. Has a long economic life e.g. a car, computer, etc.

Non-durable good: perishable. A good that does not last for a long time. It gets spoiled/deteriorates quickly.

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