Characteristics of land
- It is a free gift of nature i.e non man made
- It is fixed in supply i.e its supply is perfectly inelastic.
- Land is an immobile factor of production, geographically
- Land is the premises or home of all the other factors of production.
- The reward for land is rent
- Land is not homogeneous in nature. It varies in fertility value etc.
- Land is more particularly subjected to the law of diminishing returns.
These characteristics distinguish it from other factors of production
Land is important in that it gives a site where production takes place. Secondly, it provides the premises for all other natural resources like minerals, fuel, soils etc.