Answer to Question #168257 in Microeconomics for Waqar

Question

A farmer plane to harvest maize on his specific land.discuss all factors of production which he need to harvest the whole season of crop also mentioned their rewards

Answer 1

The factors of production for the farmer will be land, labor, capital, and entrepreneurship, which are seamlessly interconnected together to accomplish economic growth.

The farmer is an entrepreneur because he is the owner of the business and understands maize farming and his reward will be profit or loss. The farmer will require workers to work on the farm, who will require payment for their service, hence the reward for the workers will be salary or wages. The farmer will also require capital for the maize farming operation which requires funds for various needs and hence the reward for capital will be interest. The farmer is the owner of the land for planting and harvesting maize and the reward for the land is rent.