In 1 or 2 sentences, describe how both producers and consumer use money.

Question

History

John Chan

27 December, 12:18

In 1 or 2 sentences, describe how both producers and consumer use money.

+1

Answers (1)

Know the Answer?

Amirah · Answer 1

Producers and consumers use money in very different ways.

Producers

Producers use money in order to obtain materials, hire workers, and invest in training/technology. The hope of producers is that spending money on the aforementioned resources will result in his/her company generating more profits for their business.

Consumers

Consumers use money in order to obtain resources, goods, or services they want or need. For example, consumers use money for things they need such as food and water. Consumers also use money to buy goods they want like cell phones, televisions, or cars.