A Stand of Redwood Trees Is Not an Example of a Factor

question 321

True/False

A stand of redwood trees is not an example of a factor of production but the harvested and processed redwood is a factor of production.

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Definitions:

Broker

An individual or firm that acts as an intermediary between buyers and sellers, typically in financial transactions, real estate, or insurance.

Assumes a Risk

A legal doctrine where an individual knowingly exposes themselves to a hazard or danger and is considered to have consented to the risk involved.

Insurer

A company or entity that provides insurance policies to protect individuals or organizations against financial loss or damage.

Premium

A sum paid periodically to the insurer by the insured for covering their risk.