In the circular flow model of the market system, households' major role is to
A)buy both products and resources.
B)sell both products and resources.
C)buy products and sell resources.
D)sell products and buy resources.

Question

Quizplus · Accepted Answer

In the circular flow model, households primarily buy products (goods and services) from firms and sell resources (labor, capital, land, and entrepreneurship) to firms. This reflects the dual role of households as consumers and resource owners in the economy.

In the Circular Flow Model of the Market System, Households