The following occur in the factor market:
Susan earns $600 per week working for the medical clinic.
Raphael earns $250 per week working for Dinah's diner.
The following occur in the product market:
Raphael spends $150 to purchase medical services from the medical clinic.
<h3>What is the factor and product market?</h3>
The product market and the factor market are the two major markets in the circular flow of income.
The product market is a marketplace where final goods and services are bought and sold. Intermediate goods are not sold in the product market.
The factor market is a market where the factors of production needed for the production of goods and services are bought and sold. Labor is one of the factors of production.
Thus, the services of Susan and Raphael would be exchanged in the factor market. For offering their services in the factor market, Susan and Raphael are rewarded in the form of wages.
Here is the complete question;
Identify if each of the following scenario occurs in the factor market or in the product market.
raphael spends $150 to purchase medical services from the medical clinic.
susan earns $600 per week working for the medical clinic.
raphael earns $250 per week working for dinah's diner.
To learn more about the factor market, please check: brainly.com/question/17284274
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