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Contact [7]
2 years ago
6

Based on this model, households earn income when (household/firms) purchase (factors/goods and services) in factor markets.

Business
1 answer:
aalyn [17]2 years ago
5 0

The model shows that households earn money when <u>Firms </u>purchase <u>Factors </u>in factor markets.

<h3>Interaction between the Household and a Firm </h3>
  • Households buy goods from firms thereby passing income to firms.
  • Firms buy labor from households.

Households therefore earn an income when firms decide to go to the factor market and buy a factor such as labor from households.

In conclusions, households and firms are interconnected.

Find out more on this interaction at brainly.com/question/1433471.

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A manager checked production records and found that a worker produced 160 units while working 40 hours. In the previous week, th
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A manager checkedthe rate of production and found out that a worker produced 160 units while working for 40 hours

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