The Two Factors of Production That Are the Most Important

question 55

True/False

The two factors of production that are the most important for creating wealth are entrepreneurship and the effective use of knowledge.

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Definitions:

Voting Shares

Shares of a corporation’s stock that give the shareholder the right to vote on matters of corporate policy and the election of the board of directors.

Patents

Legal protections granted to inventors, giving them exclusive rights to use, sell, and manufacture their invention for a certain period.

Equipment

Tangible assets used in the operations of a business, not intended for sale, such as machinery or office computers.

Controlling Interest

Ownership interest in a business entity through holding more than 50% of its voting shares, granting the ability to control decisions and policies.