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The factors of production are the resources that are necessary for businesses to produce the goods and services.

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Businesses use the money they get back from the Product Market to pay the consumers for their labor and the other factors of production involved.

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The Consumers get money by providing labor/services  through the factors of production.

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The businesses are paid money by the Product Market for their goods and services.

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Businesses sell goods and services to the Product Market.

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Green Boxes = Money Cycle
Blue Boxes = Production

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The Consumers go to the Product Market to receive goods and services.

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People need to earn money in order to fill their needs and wants.

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Consumers exchange money to the Product Market in order to receive goods and services.