ECONOMIC RESOURCES.

Resources or inputs refer to anything provided by nature or previous generations that can be used directly or indirectly to satisfy human wants.Those resources can be classified as follows:

• Capital resources.
• Human resources.
• Natural resources.

Money is a tool for transferring resources , goods and services.Classical economics recognizes three catergories of resources as land,labour,and capital.Together with enterpreneurship,land,labour,capital viewed as the 4 factors of prodution in neoclassical economics.

01.Land.

Includes all natural resources and is viewed as both the site of production and the source of raw materials.Renewable resources such as forests,and fisheries can be replenished or produced relatively quickly.The highest rate at which a resource can be used sustainabily is the sustainable yield.Non-Renewable resources cannot be replenished once they are depleated[metallic minerals can be reused by recycling them,but coal and petroleum cannot be recycled].The payment for use and the received income of a land is rent.

02.Labour.

Consists of human effort provided in the creation of products paid in wage.Skills,energies,abilities,and knowledge that are used for the production of goods or the rentering of services.It is an inseperable,perishable factor and cannot be stored.

labour is an active factor of production  not like the other factors.As they are humanbeing this factor has its own feelings,like and dislikes,thinking power and it is a hetrogeneous factor.

03.Capital.

Consists of human made goods or means of production which is neded of the depreciation[Machinery,buildings and other infrastracture] in the other goods and services paid in interest.

04.Enterpreneurship.

Enterpreneurs serve as managers,risk taskers,leaders and visionaries.They bear the risk and income received by them profit.They are one of the human factor and gain profit in return of their services or work.