- 1 The Circular Flow Model The Following Diagram Presents A Circular Flow Model Of A Simple Economy The Outer Set Of Ar 1 (19.93 KiB) Viewed 12 times
- 1 The Circular Flow Model The Following Diagram Presents A Circular Flow Model Of A Simple Economy The Outer Set Of Ar 2 (29.66 KiB) Viewed 12 times
Based on this model, households eam income when households purchase goods and services in factor markets. Suppose Frances earns $875 per week working as jewelry appraiser for Classy's Jewelry Store. She uses $8 to get her car washed at Spotless Car Wash. Spotless Car Wash pays Dmitri $250 per week to wash cars. Dmitri uses $325 to purchase necklace from Classy's Jewelry Store Identify whether each of the following events in this scenario occurs in the factor market or the product market. Event Factor Market Product Market Dmitri earns $250 per week working for Spotless Car Wash, Frances earns $875 per week working for Classy's Jewelry Store. Frances spends $8 to get her car washed. O O A The $325 Dmitri spends to purchase necklace from Classy's Jewelry Store The $250 per week Dmitri earns working for Spotless Car Wash The car wash Frances receives frances's labor O Ⓡ Which of the elements of this scenario represent a flow from a firm to a household? This could be a flow of dollars, inputs, or outputs. Check all that apply. Grade It Now Save & Continue