Title: Factors of Production

Write down the

Essential Question.
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
When looking at scarcity, we often run
into WANTS and NEEDS.

Think/Pair/Share
Analyze your life.
What are the NEEDS
in your life?

What are your WANTS?

Where does scarcity come
in?
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Drop your pencil and
take a quick look around
the room. What do
you see?

Walls, boards, furniture, books, paper,
pens, pencils the list could go on and
on. None of these goods magically
appeared at this moment for your
comfort or convenience. All of them were
produced to satisfy somebodys wants.
The question is, how is this done?
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Economic Inputs are the scarce resources
that go into the production process.

We calls these productive resources the
FACTORS OF PRODUCTION (there are
4 of them)
Land
Labor
Capital
Entrepreneurship

Outputs are the goods and services
produced using these resources.
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Economists use a production equation to
represent the process of combining
resources (inputs) to product goods and
services (outputs). This equation looks
like this:
Land + labor + Capital +
(entrepreneurship) = goods and
services

Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Land is seen by economists as the gifts
of nature that are used to produce goods
and services.

These gifts include air, soil, minerals,
water, forests, plants, animals, etc.

There are three types of resources
1. Perpetual resources (will never be used up)
2. Renewable Resources (can be replaced)
3. Nonrenewable (once used, they are gone)
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Labor is the time and energy/effort devoted
to the production of goods and services.

Human Capital knowledge and skill that
people gain from education, on the job
training, and other experiences.

Think/Write/Share Why do you think
there is a strong correlation (relationship)
between a countrys level of human capital
and its standard of living.
Consider both the USA and any third world country.
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
When we hear the word Capital, many
people automatically think about money
(currency, stocks, bonds, etc.)

Economists view Capital as productive
resources like:
tools, machines, buildings and factories,
computers, roads, electrical grids, etc.

Think/Write/Share Capital has started
to replace labor in one area after another
over the past 100 years. How can this be
seen as both a good and a bad thing?
Objective (What?) SWBAT
Identify the four factors of
production and defend why
they are crucial in the
production of goods and
services.

DOL (how?) Given an exit
card, 100% of students will:
List the four factors of
production. Give a 2-3
sentence defense on why
each is important in the
production of goods and
services.

Why?: Having knowledge of
both inputs and outputs is
important to understanding
how goods and services are
produced.

Standards: Econ 3.1.a

EQ: What are the 4 factors of production; how do they fit into the prod equation?
Entrepreneurship Entrepreneurs are the
people who come up with ideas on what
goods and services to produce. They:

Come up with new inventions and tech
Come up with a new vision on products
Take risks by investing in new businesses
Help turn ideas into realities