Factor Markets: ( Today's Fin-Tweet) [June 6,2016]

Factor Markets:

A factor market refers to markets where services of the factors of production (not the actual factors of production) are bought and sold, such as the labor markets, the capital market, the market for raw materials, and the market for management or entrepreneurial resources.
A factor market facilitates the purchase and sale of services of factors of production, which are inputs like labor, capital, land and raw materials that are used by a firm to make a finished product. A factor market is distinct from the goods and services market, which is the market for finished products or services.