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Question
the factors of production attempt to instill the idea that resources are
o expensive.
o scarce.
o unlimited.
o needed.
In economics, the factors of production (land, labor, capital, entrepreneurship) are based on the fundamental economic problem of scarcity. Scarcity means that resources are limited relative to unlimited wants. While resources can be expensive (but not always), the key underlying concept is scarcity. Resources are not unlimited (as that would not require the study of how to allocate them, which is a core part of economics). And while resources are needed, the specific economic concept emphasized by factors of production is scarcity.
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scarce.