The factors of production used to make the Dreamliner include A. labor, capital, entrepreneurship, and financial capital B. technology, human capital, engineering, and labor C. entrepreneurship, financial capital, and technology D. capital, land, labor, and entrepreneurship
The correct answer and explanation is:
The correct answer is D. capital, land, labor, and entrepreneurship.
The Dreamliner, a high-tech airplane manufactured by Boeing, requires several factors of production to bring the project to completion. These factors of production are the resources used to create goods and services, and they fall into four main categories:
- Labor: This refers to the human effort used in production. For the Dreamliner, labor includes all the workers involved in designing, assembling, and testing the aircraft. This would encompass engineers, technicians, factory workers, and even pilots who help test the prototypes.
- Capital: In this context, capital refers to the tools, machinery, equipment, and facilities necessary to produce the Dreamliner. Boeing requires high-tech machinery for building the airplane, such as specialized robots, assembly lines, and computer systems for simulations and designs. These resources are an essential part of the production process.
- Land: Land encompasses all natural resources used in the production process. For Boeing, this includes the raw materials like metals, composites, and other materials sourced from the Earth. Additionally, land refers to the physical space and facilities where the airplane is built.
- Entrepreneurship: Entrepreneurship refers to the individuals who take the initiative and risk to organize the other factors of production and bring a product to market. In the case of the Dreamliner, the top executives and managers at Boeing serve as the entrepreneurs who drive the project forward, managing resources, innovation, and ensuring that the production process runs efficiently.
These four factors—capital, land, labor, and entrepreneurship—work together to bring the Dreamliner from concept to reality, as Boeing mobilizes them across its global operations to design, manufacture, and deliver the aircraft.