Which term refers to people who use resources to make goods and services; also called workers?

Study for the Entrepreneurship EOPA Test. Prepare with targeted questions and comprehensive explanations. Equip yourself for success in your exam!

Multiple Choice

Which term refers to people who use resources to make goods and services; also called workers?

Explanation:
Labor is a factor of production, referring to the people who apply effort to turn resources into goods and services. The term production/producers fits best because it names both the act of creating outputs (production) and the people who do the work (producers). Workers is a natural way to refer to labor, but the option that combines the idea of both making and the people involved is the most precise match. The other terms don’t fit: a product line is a group of related products, a product is the item itself, and public goods are goods provided for everyone regardless of who produces them.

Labor is a factor of production, referring to the people who apply effort to turn resources into goods and services. The term production/producers fits best because it names both the act of creating outputs (production) and the people who do the work (producers). Workers is a natural way to refer to labor, but the option that combines the idea of both making and the people involved is the most precise match.

The other terms don’t fit: a product line is a group of related products, a product is the item itself, and public goods are goods provided for everyone regardless of who produces them.

Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy