Class 8 Maths Chapter 7 NCERT Solutions: Proportional Reasoning – Stepwise Answers & PDF

Exercise Solutions – NCERT Solutions Class 8 Maths Chapter 7 Proportional Reasoning – I (2025-26)

1. Answer the following questions in about 30 words.

1. What are the factors of production?

Answer: The factors of production are resources or inputs used to produce goods and services. In economics, these are classified as land (natural resources), labour (human resources), capital (money and human-made resources), and entrepreneurship. Technology acts as a facilitator enabling efficient production.

2. How are these factors interconnected?

Answer: These factors complement and rely on each other in the production process. For example, entrepreneurship brings land, labour, and capital together. Technology can further improve the combination. If one factor is missing, production becomes inefficient or stops.

3. What is the role of human capital in production, and what are its facilitators?

Answer: Human capital refers to the knowledge, skills, and experience of people involved in production. Education, training, healthcare, and positive social and cultural influences are facilitators that help in developing and enhancing human capital for efficient production.

2. Answer the following questions in about 150 words.

1. Explain how land, labour, capital, entrepreneurship, and technology combine in a real-world business scenario.

Answer: In a business like a restaurant, land is the physical location used, labour is the staff working (cooks, helpers, servers), capital includes monetary resources and tools like kitchen equipment and furniture, and entrepreneurship lies in the owner organising all these to deliver food and service to customers. Technology helps with tasks like digital payments or online marketing. All factors must work together; for instance, having land and capital without skilled labour, or entrepreneurship without capital, will make the business struggle or remain uncompetitive. If technology is introduced, such as digital ordering systems, the business can become more efficient. Thus, a balance and integration among these factors is necessary for real-world production and business growth.

2. How does technology change the proportion of factors used in production?

Answer: Technology can increase efficiency and reduce dependence on some factors, especially labour. For example, with advanced machines or digital tools, the need for physical labour may decrease, and productivity rises. In agriculture, machines reduce manual effort. In education, online learning platforms make skill development accessible from anywhere. Sometimes, technology creates new demands for skilled workers. Therefore, technology can shift the balance from labour-intensive to capital- or technology-intensive processes, but optimal use of all factors ensures sustained production and growth.

3. Why is it important to use natural resources responsibly during production?

Answer: Natural resources or land are limited and essential for continued production and life. Overuse or careless exploitation leads to resource depletion, pollution, and environmental damage, affecting biodiversity and health. Producers must minimise waste and adopt sustainable practices to preserve resources for future generations. Responsible use includes recycling, environmentally-safe disposal, and applying technologies that reduce impact. Following responsible production supports society, complies with environmental regulations, and can even enhance a business’s reputation.

3. Match the following.

4. Think like an economist. As Ratna, what would you do if:

• Rent suddenly doubles: I would review my costs, consider negotiating with the landlord, see if raising prices is feasible, or look for a less expensive location. Careful analysis of how it affects profits is important.
• A helper quits: I would check if remaining staff can share the workload or hire a replacement, potentially with a higher salary if necessary to fill the gap quickly.
• You get a loan for better technology: I would use the loan to upgrade equipment, which can improve speed, quality, and efficiency, attracting more customers and boosting revenue.
• Another restaurant opens nearby: I would ensure food quality, service, and customer satisfaction remain high, possibly introduce new dishes or discounts, and focus on my restaurant’s unique strengths to retain and attract customers.
• What government laws or rules could improve the ease of doing business: Simple registration, clear tax policies, easy loan access, and infrastructure support can make it easier for small businesses to operate and grow.

Understanding Factors of Production in Economics

Mastering factors of production is key for Class 8 students aiming to build strong foundations in economics. By learning about land, labour, capital, and entrepreneurship, you gain insights into how goods and services are created in the real world.

This chapter also highlights the role of technology and human capital in production. Reviewing NCERT theory and practice questions regularly will sharpen your understanding for exams and daily life scenarios.

For exam success, focus on the meaning and interdependence of each factor. Practice by relating these concepts to businesses around you and strengthen your revision for quick recall and confidence in assessments.