Theory of Production ALLPPT.com _ Free PowerPoint Templates, Diagrams and Charts Prepared By: Anamika Datta • Michael Parker • H.L. Ahuja • Mohammad Saiful Islam
Factors of Production Land, Labor, Capital and Organization
Land Land stands for all the natural resources which yield an income or wh ich have exchange value. These resources may be useful or scarce, a ctual or potential Land has following features: • Land is the nature’s gift to men. • The quantity and quality of natural resources plays a vital role in th e economic development of a country. • But growth depends on the efficient use of the available land. • Land is fixed in quantity • Land lacks mobility • Inelastic supply of land
Division of Labor
Production Production is the transformation of input into output. Or, Production is the creation of utility or, creation or addition of value.
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- Spring '15