One of the
factors of production, it represents the human
resource. Labour is said to be the most important factor of production. As well as being a factor of production, it is also the reason
production takes place.
Labour is the work provided through physical or intellectual skill and effort This service is provided in exchange for a wage or salary, which are the rewards of labour.
The supply of labour within an economy is determined by the labour supply, but its skill and usefulness is determined by the level of training and education within the economy. Thus better training and education can increase the quality of this resource and therefore improve its contribution as a factor of production.