Chet runs a woodworking company in a small Midwest town. Many of the o

QUESTION

Chet runs a woodworking company in a small Midwest town. Many of the original residents’ children move away for college, while the low cost of living attracts many Hispanic families.

Which factor of production will likely change in response to the social forces affecting Chet’s business?
A) natural resources
B) capital
C) human resources
D) entrepreneurship
E) knowledge

ANSWER

Answer: C
Explanation: C) Chet will likely hire more Hispanics for his shop, which may require bilingual signage in the facility and lessons in Spanish for his existing English-speaking employees.