Goods and ServicesFirmsHouseholdsMarkets forFactors of ProductionBased on this model, households earn income whenpurchasein factor markets.Suppose Ana earns $500 per week working as an analyst for A-Plus Accountants. She uses $10 to get her car washed at Spotless Car Wash. SpotlessCar Wash pays Yakov $375 per week to wash cars. Yakov uses $125 to purchase tax services from A-Plus Accountants.Identify whether each of the following events in this scenario occurs in the factor market or the product market.EventFactor MarketProduct MarketAna spends $10 to get her car washed.Ana earns $500 per week working for A-Plus Accountants.Yakov earns $375 per week working for Spotless Car Wash.Which of the elements of this scenario represent a flow from a household to a firm? This could be a flow of dollars, inputs, or outputs. Check all thatapply.O Ana's laborO The car wash Ana receivesO The $125 Yakov spends to purchase tax services from A-Plus AccountantsO The $375 per week Yakov earns working for Spotless Car Wash

Here, the given figure explains the circular flow model according to which firms and households have…

Answered: Goods and Services Firms Households…

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter6: Demand Relationships Among Goods

Section: Chapter Questions

Problem 6.3P

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Need help with this. Its all part of the same question, remember you gotta watch the diagram in order to answer. Also where it says: Based on this model, households earn income when_________(choose one of these: businesses or households) purchase_________(choose one of these: resources or goods and services) in the factor markets.
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