Which of the following is NOT considered a factor of production?

In the context of economics, factors of production are the resources that are used to create goods and services. These typically include natural resources (land), human resources (labor), capital (financial and physical tools), and entrepreneurship.

Interest, however, is not a factor of production. Instead, it is the cost of borrowing money or the return on investment for capital; it reflects the time value of money rather than a resource used in the production process itself. Interest comes into play primarily in discussions about financial capital and investments, rather than the physical or human resources utilized to produce goods and services. By identifying interest as the element that does not fit into the factors of production, one highlights the distinction between resources that contribute directly to production and financial concepts that relate to the costs associated with those resources.