Following the circular flow of a mixed economy, firms receive a flow of dollars from and send goods and services to:

Question

Quizplus · Accepted Answer

Firms receive a flow of dollars from output markets where goods and services are sold to households and government, and send goods and services back to the output markets. Input markets are where firms purchase resources such as labor, land, and capital, and do not involve the circulation of dollars or goods and services back to households or government.

Following the Circular Flow of a Mixed Economy, Firms Receive