In a capitalist system, the main flow of money is from investors into materials and labor costs. These sales generate profits for still more manufacturing ventures. This is related to the
A) primary circuit of capital.
B) second circuit of capital.
C) additional circuit of capital.
D) socialist circuit of capital.

Question

Quizplus · Accepted Answer

The primary circuit of capital refers to the process where money is invested into the production of goods or services through the purchase of materials and labor, generating profits that can be reinvested into further production. This is a fundamental concept in capitalist economies.

In a Capitalist System, the Main Flow of Money Is