Land

From ZuluNotes - Free Leaving Cert Notes

Land is one of the four Factors of Production in Economics.

Contents 1 House land differs to other Factors of Production 2 Increase in price of land 3 Importance of opportunity cost 4 Location of firms and industries

[edit] House land differs to other Factors of Production

1. Fixed supply
2. No initial cost to society

Rent is price determined, not price determining.

[edit] Increase in price of land

1. Increase in population
2. Land for industry
3. Transport
4. Agriculture
5. Leisure
6. Tourism

[edit] Importance of opportunity cost

1. Wages
2. Social costs and benefits
3. Economic realism
4. Consumer behaviour

[edit] Location of firms and industries

Location factors to be considered:

1. Land
2. Labour
3. Capital and Infrastructure
4. Back up services
5. Government regulations
6. Markets