Production is said to be capital intensive when

Source: JAMB · 2024

Production is said to be capital intensive when

  1. The producer uses more capital ✓
  2. The producer uses more land than capital
  3. The producer uses more capital than land
  4. The producer uses more machines than human labour
Explanation

Capital-intensive production uses more machines and equipment than human labor. Factories with lots of machinery are capital-intensive.

Labor-intensive production relies mainly on workers, not machines. Farming by hand is labor-intensive.

Capital intensity compares capital to labor, not to land.

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