Log out Go to App
Go to App

Learning Materials

Features

Discover

Chapter 1: Q 17. (page 25)

Are firms primarily buyers or sellers in the goods and services market? In the labor market?

Short Answer

Expert verified

Firms are primarily sellers in the goods and service market and buyers in the labor market.

Step by step solution

01

Step 1. Firms and goods and services market.

Firms are primary sellers in the goods and services market. A market is a place where sellers and consumers interact to buy and sell goods and services. The firms sell different goods and services to the households to fulfill their wants.

02

Firms and the labor market.

Firms are primary buyers in the labor market. The labor market is the market where workers meet the manufacturers and producers of goods and services. They buy labor to produce goods and services in the exchange for wages and salaries.

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

Why might Belgium, France, Italy, and Sweden have a higher export to GDP ratio than the United States?

What items would you include to figure out the opportunity cost of a vacation to Disney World?

Suppose we extend the circular flow model to add imports and exports. Copy the circular flow diagram onto a sheet of paper and then add a foreign country as a third agent. Draw a rough sketch of the flows of imports, exports, and the payments for each of your diagram.

You are trying to decide whether to take a vacation. Most of the costs of the vacation (airfare, hotel, and forgone wages) are measured in dollars, but the benefits of the vacation are psychological. How can you compare the benefits to the costs?

What is globalization? How do you think it might have affected the economy over the past decade?
See all solutions

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.

Sign-up for free