Final answer:
The three categories that economic and functional factors can fall into are natural resources, labor, and capital.
Step-by-step explanation:
The three categories that economic and functional factors can fall into are:
- Natural Resources (Land and Raw Materials): This category includes the land used for production and the raw materials required to create a product or provide a service. For example, in the production of a pizza, the land used for growing wheat and the raw materials like flour, yeast, tomatoes, and cheese would fall into this category.
- Labor: Labor refers to the human resources involved in the production process. It includes the physical and mental efforts of individuals. For example, the work done by the pizza chef, delivery person, and other staff members in a pizza place would fall under this category.
- Capital: Capital refers to the financial resources used to produce goods and services. It includes machinery, equipment, and tools. For example, the wood-burning oven, gas oven, and other equipment used in the pizza place would fall under this category.