Question

Identify the factors of production of the following case and differentiate between them.

Human factor of production with and without innovative capacity.

Answer 1

1. Creative problem-solving: Innovative individuals can think critically, creatively, and outside the box. Humans with lack inventive capacity tend to focus on repeating duties inside established frameworks.
2. Adaptability: Innovative individuals see problems as chances to learn and grow. Humans that lack innovation are hesitant to adjust to changing circumstances. They prefer to complete everyday tasks efficiently and properly.