What is not a factor of production? What is the function of the factors of production in an economy? In 2016, 20 billion barrels of oil and 1.6 billion barrels of natural gas were discovered in Texas, US. Which factor of production has increased? A natural resource was discovered in a country. The exploitation of this resource allowed the country to double its gross domestic product within ten years. Why did this not solve the basic economic problem? What is the basic economic problem? On which factor of production does innovation directly depend? What causes economic agents to make choices? Which combination of a factor of production and its factor income is not correct? Why do consumers have to make choices when spending their income? What is the key role of an entrepreneur? Sanjay is a risk taker and sets up a restaurant in Chennai. Sanjay works for the business as a chef. He leases the restaurant building from Raghav and employs him to serve the customers. Which income is earned by Sanjay and Raghav? Which statement about the factors of production is correct? What condition in an economy would encourage immigration of labour? To help reduce the price of oil, new supplies are needed. However, objectors oppose exploration of new sites because of the environmental damage it may cause. Why is this statement an example of the basic economic problem? What will increase the demand for labor in an industry? What could cause an increase in demand for a factor of production?