Economic Resource Concept - Definitions

Definition of Economic Resources

Economic Resource Concept

Economic resources are often characterized by relative scarcity, that is, the available amount of them is usually insufficient to produce multiple and renewable human goods and services. We can know it through the following:

• Economic resources can be defined as anything suitable for the production of goods and services that satisfy human needs.
• Economic resources can be defined in every other way as the stock of wealth available in society, in addition to being called the factors of production or the inputs of the production process.

Elements of economic resources

Economic resources are divided into four elements:

1. The Capital element.
2. The Labor element.
3. The Land element.
4. Organization, and Management element.

Reasons for studying economic resources

What is the reason for the interest of economists in the study of economic resources? If we look at economic resources and why economists are interested in studying them, we will find that there are several factors:

1. Scarcity of resources and multiplicity of needs.
2. economical development.
3. Protect and conserve resources.
4. Wars and control of limited resources.

In the end of the article, economic resources are an important element of production that must be available to satisfy the individual's desires