How does income flow between businesses and consumers?

1 answer:

6 0

Consumers are interdependent with each other as, the consumers create the demand for goods and the businesses provide the service and production to supply the good. If the demand is high then the income of businesses is high as well, but if demand is low then the income of the suppliers also drops. Without demand, the producers will not earn money and the employees will not be able to pay rent, bills etc, to support the households.

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