Ask AI: In your words Explain what the factors of production is in economics and provide a real world example

The factors of production in economics is a term used to describe the elements required in the production of goods or services. These elements include land, labor, capital, and entrepreneurship. A real world example of the factors of production is a small retail store that sells clothes. The land represents the store itself and any buildings attached to it. Labor is the workers that are employed in the store such as the cashiers and stockers. Capital would be the money invested in the store to buy the clothes, the equipment and to maintain the store. And finally, entrepreneurship would be the owner of the store that had the idea to open the store in the first place.