CBSE Class 9 Answered

Four main factors of production are:

Land: It is an important factor of production as the establishment of various factories and units requires land.

Labour: It refers to the work done by humans for production purposes. Labour may be skilled or unskilled.

Capital: Physical capital is required for producing goods at every stage. Physical capital may be divided into two categories - fixed capital (machines and tools) and working capital (raw materials and liquidity).

Knowledge of production: For producing goods, one should have knowledge about factors of production and the processes which are involved in various stages of production.