What are the differences between land and labour as factors of production?

      

Distinguish between land and labour as factors of production.

  

Answers


Maurice
(i) Land refers to all resources provided by nature used in production while labour refers to human efforts in production.

(ii) Land supply cannot be increased while labour is both geographically and occupationally mobile.

(iii) Land's productivity reduces with constant use hence reducing in quality while labour is increased through growth of population.

(iv) Land produces raw materials for production while labour provides services in production.

(v) Land's quality may be improved through adding fertilizer and manure while quality of labour may be improved through training.

(vi) Rewards for land are in form of rent, rates and lease rewards for labour are in form of salaries, wages, commissions and royalties.
maurice.mutuku answered the question on July 22, 2017 at 09:35


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