Question

Differintiate between factor market and goods market

Answer 1

$\tt\underline\green{Factor \: market}: - \: \sf \: A \: factor \: market \: is \: a \: market \: in \\ \sf \: which \: companies \: buy \: the \: factors \: of \: production \: or \\\sf \: the \: resources \: they \: need \: to \: produce \: their \: goods \: and \\ \sf \: services.$

$\tt\underline\red{Goods\: markets}: - \: \sf Goods \: markets \: are \: markets \\ \sf in \: which \: companies \: and \: households \: interact \: to \\ \sf buy \: and \: sell \: the \: output \: of \: goods \: and \: services.$

Answer 2

Answer:

A factor market is a market in which companies buy the factors of production or the resources they need to produce their goods and services. ... Goods markets are markets in which companies and households interact to buy and sell the output of goods and services.

Explanation: