Question

• Analyze which of the 4 factors of production were the most and least important in determining the economic concentration of Hollywood movie industry

Answer 1

Factor of production includes any resources needed for the creation of goods and services.

The factor of production includes:-

1. LAND

2. LABOUR

3. CAPITAL

4.ENTERPRENUEURSHIP

* LAND AS A FACTOR :- Land is the essential component of most ventures , its importance can be increase or decrease based on industry.

Land as a factor of production & can take on various forms , agricultural land to commercial real estate to the resources available from a particular piece of land.

In industry , it provide surface/ space for setting up the sites for industrial infrastructure  

If there will not land then where the film industry do the set up for making the movie they set up there office any many things related to there work .

Early French economists called the physiocrats, who pre-dated the classical political economist , the land was responsible for generating economic value.

* LABOUR AS A FACTOR :- Labour is a work done by the people. The reward get by the labour is wages.

The value of the workforce of labour depend on worker's education, skill and motivation It's also depend on productivity.

Labour is important for the Hollywood film industry as it's provides the product , materials or anything which required by their senior or artist who were involved in making film or for whom who present there.

* CAPITAL AS A FACTOR :- As a doctor of production , capital refers to the purchase of goods made with money in production.

In economics capital refers to money. But money is not a factor of production because it's not directly enclude in producing a goods or services.

Capital is required In Hollywood film industry as without having capital nothing can be done capital required for doing the payment , its involved for purchasing the material required and for many more thing without having a capital anyone can thik about to start a Hollywood film industry or any of the industry.

Capital facilities the process used in production by enabling entrepreneurs & company owner to purchase, capital goods , land or pay wages . For moder mainstem ( neo classical) Economist , capital is the primary drive of value.

* ENTERPRENEURSHIP AS A FACTOR :- Enterprenuership is the drive to develop an idea into a business .The income earned by the entrepreneur's is profit.

An entrepreneurship combines the other 3 factor of production to add to supply the most successful are innovative risk taker , as the person who take the more risk earn the more profit.

In Hollywood film industry entrepreneurship is important because for doing the start up of any industry entrepreneurship is required without entrepreneur nothing can be start it's the only one who involved there Money as a capital to gain the profit from the industry.

As we see above we clearly get to know which is most & least important in determining the economic concentration factors of production  

Entrepreneurship and capital are the most important in determining the economic concentration of Hollywood film industry, , whereas land and labour are least important in determining the economic concentration of Hollywood film industry

All 4 factor of production are important in there own way in determining the economic concentration but if we have to give priority then firstly we give to the enterpernueship and capital .