(1). Land as a factor of production: according to Marshall, "the land means the material and the forces which nature gives freely to man's aid in land and water, in air and light and heat."
Land is used to describe all national resources which are used in the production of goods and services. These are agricultural land, mineral deposits forest, rivers, Lakes, oil deposits, mountains, etc, which are free gift of natures the above discussed resources are found under and above the surface of earth.
Characteristics of land: these are the main characteristics of land as a factor of production
(1). Fixed supply: the supply of land as a whole of an economy is fixed. It is perfectly in elastic. But from the point of view of an individual or a firm. It is relatively elastic. E.g. the supply of land by growing wheat can be increased and some less is used by growing other crop.
(2). Mobility: it cannot be shifted from place where it is situated to another region. Its geographical mobility is nil but its ownership or value can be transferred.
(3). Gift of nature: land is free gift of nature and cannot be produced or destroyed. But ownership of a piece of land can be sold from an owner to another one.
(4). Fertility: all pieces of land are different in respect of their fertility. More fertile piece of land yields more production of a crop as compared to the production of less fertile piece.
(5). Powers of the land: there are original and indestructible powers of the soil.
Land is used to describe all national resources which are used in the production of goods and services. These are agricultural land, mineral deposits forest, rivers, Lakes, oil deposits, mountains, etc, which are free gift of natures the above discussed resources are found under and above the surface of earth.
Characteristics of land: these are the main characteristics of land as a factor of production
(1). Fixed supply: the supply of land as a whole of an economy is fixed. It is perfectly in elastic. But from the point of view of an individual or a firm. It is relatively elastic. E.g. the supply of land by growing wheat can be increased and some less is used by growing other crop.
(2). Mobility: it cannot be shifted from place where it is situated to another region. Its geographical mobility is nil but its ownership or value can be transferred.
(3). Gift of nature: land is free gift of nature and cannot be produced or destroyed. But ownership of a piece of land can be sold from an owner to another one.
(4). Fertility: all pieces of land are different in respect of their fertility. More fertile piece of land yields more production of a crop as compared to the production of less fertile piece.
(5). Powers of the land: there are original and indestructible powers of the soil.