In the simple circular-flow diagram, in which market are firms sellers?
A) the goods and services market
B) the factors of production market
C) both the factors of production market and the goods and services market
D) neither the factors of production market nor the goods and services market

Question

Quizplus · Accepted Answer

In the simple circular-flow diagram, firms are sellers in the goods and services market, where they offer products and services to households. In this market, firms receive revenue in exchange for their output.

In the Simple Circular-Flow Diagram, in Which Market Are Firms