3.4.1 Production and productivity

• The four main factors of production are land, labor, capital, and entrepreneurship.


  True
• What is the definition of labor as a factor of production?

  Human effort
• Provide an example of land as a factor of production.

  Agricultural land
• Machines and factories are examples of capital
• What are the goods or services produced called?

  Output
• Match the type of productivity with its definition:

  Labor Productivity ↔️ Output per worker or per hour

  Capital Productivity ↔️ Output per unit of capital input

  Total Factor Productivity ↔️ Overall efficiency in converting all inputs
• What does capital productivity measure?

  Output per unit of capital
• A bakery uses land for its location
• What are the factors of production used to produce goods and services?

  Land, labor, capital, entrepreneurship
• Match the factor of production with its example:

  Labor ↔️ Construction workers

  Capital ↔️ Machines

  Entrepreneurship ↔️ Innovators
• How is productivity calculated?

  Output / Input
• What is the formula for labor productivity?

  Output / Labor Hours
• What is the formula for total factor productivity (TFP)?

  Total Output / Combined Input Value
• What are examples of external factors affecting productivity?

  Economic conditions, infrastructure, regulatory environment
• Match the type of productivity with its impact on economic growth:

  Labor Productivity ↔️ Increases output per employee

  Capital Productivity ↔️ Enhances efficiency of capital

  Total Factor Productivity ↔️ Provides a comprehensive measure
• Production is the process of transforming inputs into outputs
• Land refers to natural resources used in production
• Entrepreneurship is the ability to organize and combine other factors of production
• Construction workers are an example of labor as a factor of production.


  True
• Who combines the factors of production in entrepreneurship?

  Innovators
• Input refers to resources used in production
• A high productivity rate indicates efficient use of resources.


  True
• Labor productivity measures output per worker
• Total factor productivity considers the combined efficiency of all production inputs.

  True
• What type of labor does a bakery use?

  Bakers
• Land refers to natural resources used in production
• The factors of production are essential for any economic activity.


  True
• Efficiency is defined as achieving high output with minimal input
• What is the formula for capital productivity?

  Output / Capital Used
• Internal factors affecting productivity are within the firm's control
• Productivity is essential for economic growth as it allows economies to produce more with the same or fewer resources.


  True