The circular flow diagram shows that
A) goods and factor markets are independent.
B) the total amount of income generated by the economy equals the total purchases of final goods and services.
C) the flow of payments to the factors used to produce goods and services exceeds the flow of payments for final goods and services.
D) consumption expenditure equals saving.
Correct Answer:
Verified
Q22: Q30: The circular flow diagram shows Q31: In the circular flow diagram, aggregate expenditure Q32: In the circular flow model of an Q34: Compared to the other sources of spending, Q36: GDP counts only final goods and services Q39: In the above figure, flow B represents Q40: Which of the following is true regarding Q41: Q59: Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents![]()
A) how nominal![]()
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