Households supply workers to firms and then use the wages earned to buy the firms' products. What does this best demonstrate?
Consumers and producers can operate independently
Government determines all household incomes
Consumers and producers are interdependent
Labour and capital are the same factor of production
29 exam-style questions on OCR GCSE Economics 1.1 Main economic groups and factors of production, covering 1.1.1 Role of main economic groups and 1.1.2 Factors of production. Each one has a worked solution and a mark scheme showing where the marks go.