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inn [45]
3 years ago
8

Identify whether each of the following transactions will take place in an input market or in an output market, and whether firms

or households are demanding the good or service or supplying the good service a. Anderson works 37 hours each week as a clerk at the county courthouse. b. Mei Lin purchases a 3-week Mediterranean cruise vacation for her parents. c. Caterpillar doubles employment at its Huntsville, Alabama factory. d. The Greyson family sells their 250-acre ranch to Marriott so it can build a new resort and golf course.
Business
1 answer:
jolli1 [7]3 years ago
5 0

Answer:

The correct answers are explained below.

Explanation:

In the <u><em>case of A</em></u>, the household is providing the service and the transactions is taking place in an input market due to the fact that the service given by the particular person is used inside the court to provide a complete service to the community.

In the <u><em>case of B</em></u>, the firm is providing the service that is being demanded by the household and the transactions is taking place in an output market due to the fact that the complete service is already being purchased and demanded.

In the <u><em>case of C</em></u>, the household is providing the service and the firm is demanding the service of labor force and the transaction is taking place in an input market due to the fact that the firm needs the labor force to produce a new product to deliver to the output market as a finished product.

In the <u><em>case of D</em></u>, the household is providing the good and the firm is demanding the good and the transactions is taking place in an input market due to the fact that the firm is buying the good in order to establish a new building that will provide a finishied service to the customers in the future.  

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