PRC-3 · Chapter 1 · Question 30 of 61
Ms. Fatima noticed a gap in the market for organic pet food. She took out a bank loan, rented a factory, hired workers, and started producing the food, bearing all the financial risk. Which economic factor of production does Ms. Fatima represent?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Entrepreneurship
Explanation
Entrepreneurship is the factor of production that organizes land, labor, and capital to create goods, while assuming the associated business risks.
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