The order for an economy to be successful, there must be some form of organizati
ID: 1217647 • Letter: T
Question
The order for an economy to be successful, there must be some form of organization. Firms produce products that are marketed and sold. There must be people with to purchase and consumed the products that are produced by the forms. This group of individuals that consumes the products that are produced in a market economy are known as households. Which all the following is the n market economy? All households except the very wealthy are constrained by limited incomes. A household is often the primary production unit in a market economy. A household demands goods and services from the market and supplies factor inputs. A households is best represented by a married couple with two cats and a dog.Explanation / Answer
C. A household demand goods and services from the market and supplies factor inputs.
Labor is supplied by the household sector which is an important input for the production of goods and services. Firms produce goods by using labor and ultimately this product is purchased by the household sector.