Economics


Chapter : 1. The Story Of Village Palampur

Features of Labour, Characteristics of Entrepreneur and Capital

Features Of Labour
1. Labour is an active factor of production.
2. Efficiency of the labour can be increased through training.
3. Farm labourers come either from landless families cultivating small plots of land.
4. Wages are paid to the labour in lieu of the services.
Characteristics Of Entrepreneur
1. It is a factor of production which combines or arranges all the factor of production to produce.
2. It is an active factor of production.
3. It produces goods and services for self consumption or to sell in the market.
4. It is the most important factor of production.
Characteristics Of Capital
1. It is a man made source of production.
2. Capital is of two types i.e. fixed capital and working capital.
3. It is a passive factor of production.
4. Capital has economic value.

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