The four factors of production are:
- Land : This includes all natural resources used to produce goods and services, such as physical land, minerals, water, oil, and other raw materials
- Labor : The human effort, skills, and work contributed by people to produce goods and services. This includes both physical and intellectual work by employees, workers, and professionals
- Capital : The machinery, tools, buildings, money, and equipment used in the production process. Capital goods help in creating finished products but are not part of the final product themselves
- Entrepreneurship : The initiative and risk-taking ability to combine the other three factors of production effectively to create goods or services and innovate. Entrepreneurs organize production and drive economic growth
These four factors are considered the essential inputs required to produce goods and services in an economy
