Once upon a time…

Leah had an idea!I want to

make a

lemonade

stand!

So, she asked her grand-dad to build her a lemonade stand.

Can’t sell lemonade without a stand. Thanks

Grand-dad!

She got a pitcher…

And a long wooden spoon…

She squeezed some lemons…

And a little water…Added some sugar…

LEMONADE!!

And made

Lemonadefor sale!

FACTORS OF PRODUCTION*FREE ENTERPRISE/MARKET

ECO.

*Citizens are free to create any business they want. The government does not care – as long as the business is not harming other citizens in any way.

*An economy that allows business owners to compete in the market with very little government interference.

FACTORS OF PRODUCTION*ENTREPRENEUR

So…Leah had the idea for a lemonade stand, and made it happen!

*An entrepreneur is the person that brings together all the resources in order to produce the goods or provide the service.

FACTORS OF PRODUCTIONENTREPRENEUR

Leah is an entrepreneur!

FACTORS OF PRODUCTION*LABOR RESOURCES

*Labor resources are the workers that are needed with appropriate knowledge, skills, and experience to make goods or provide services.

FACTORS OF PRODUCTIONLABOR RESOURCES

Leah’s Grand-Dad was her #1 labor resource!

He built her this AWESOME lemonade stand!

FACTORS OF PRODUCTION*CAPITAL RESOURCES

*Capital resources are the machines, factories, and supplies needed.

FACTORS OF PRODUCTIONCAPITAL RESOURCES

Leah can use and re-use her pitcher and spoon, so they are both considered capital resources.

FACTORS OF PRODUCTIONCAPITAL RESOURCES

The lemonade stand can be re-used, so it is a capital resource too!

FACTORS OF PRODUCTION*NATURAL RESOURCES

*Natural resources are the raw materials used to make the goods.

FACTORS OF PRODUCTIONNATURAL RESOURCESLeah used lots of natural resources!

LemonsWaterSugar

Do you want to buy some delicious

lemonade??