6. Match each one of the types of flow with its example:
1. Consumer spending
Y
Y
2. Goods and services
3. Factors of production
4. Cost of production
a. Rent paid for store space
b. Teenager working for clothes store
c. Teenager buying a cheeseburger
d. Pair of jeans

Respuesta :

We combine each of the flow types with their example:

1. Consumer spending - c. Teenager buying a cheeseburger

2. Goods and Services - d. Pair of pants

3. Factors of production - b. Teenager working for clothing store

4. Production cost- A. Rent paid for the store space

What are factors of production and what are they used for?

Factors of production are the goods needed to produce a given final product. They are the elements that make production possible. Classically, economic theory considers three factors of production:

  • capital (usually represented by K)
  • labor (L)
  • and natural resources or land (T).

With this information, we can conclude that Material goods Are those that, as the name implies, are material and tangible.

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