1. List the productive factors and their payments per time period 2. Explain the three uses...
1. List the productive factors and their payments per time period
2. Explain the three uses of prices
Homework Answers
Answer 1:-
Following are the productive factors in front of which their payments per time period are mentioned,
- Land PPT : Rent
- Labor PPT : Wage
- Capital PPT:Intrest
- Entrepreneurship PPT : Profit
land, labor and capital are the three groups of resources workers on a company's payroll.
Answer 2 :-
The following are the three use of price,
- Price as information:- It is defined as the price information on buyers and sellers
- Price as incentives:- Sellers view high prices as incentives to supply more
- Price as rationing devices:- high prices reflect greater scarcity
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