31. LAND
1.      Meaning
In economics land includes all natural resources which are available on, above, and under the surface of the earth.

2.      Nature of Factor
Land is the natural factor of production, it is permanent in nature.

3.      Elasticity
The elasticity of land is perfectly inelastic.

4.      Mobility
Land is perfectly immobile

5.      Appreciation/Depreciation
The value of land normally appreciates.

In economics, capital refers to that of wealth which is used for further production of wealth.

Capital is a man made factor of production. It lacks permanency.

The elasticity of capital is relatively elastic.

Capital is mobile factor.

The value of capital like machines depreciates.

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