Final answer:
The total income of capital and labor in a market economy corresponds to the value of total production, which includes wages, salaries, interest, dividends, and profits. Hence, the correct answer to the question is a. production.
Step-by-step explanation:
The total income of capital and labor must equal the value of total production. This is because in a market economy, incomes arise from ownership of the means of production which includes both resources and assets.
Incomes are distributed through factor payments such as wages, salaries, interest, and profits, corresponding to the different factors of production like labor and capital.
Costs of production combine these factor payments, and the sum is the value created through production processes, which equals total production.
Profits are what entrepreneurs earn after all costs are paid, and revenue is the total income before costs. Investment refers to the money put into the business to generate future profit. Hence, the correct answer to the question is a. production.