Question

What are the basic types of resources used by producers? Check all that apply.

a) Capital
b) Labor
c) Value
d) Scarcity
e) Land

Answer 1

Producers use capital, labor, and land as the types of resources or factors of production, but not value or scarcity.

Step-by-step explanation:

The basic types of resources used by producers include capital, labor, and land. These are known as the factors of production. Capital refers to the tools and machinery used in the production of goods and services, labor is the human effort that goes into the production process, and land encompasses the natural resources utilized in production. Value and scarcity are economic concepts related to resources but are not considered as tangible resources used directly by producers in the production process.

While scarcity refers to the limitation of available resources, value is a measure of the benefit provided by a good or service to an economic agent.