Which of the following entities cause an injection in the circular ﬂow of income in the form of capital assets?
A) The foreign sector.
B) The government.
C) Households.
D) Firms.

Question

Quizplus · Accepted Answer

Firms cause an injection in the circular flow of income by investing in capital assets, which increases production capacity and stimulates economic activity.

Which of the Following Entities Cause an Injection in the Circular