Exhibit 1.2

-Refer to the circular-flow model in Exhibit 1.2. The flow from firms to product markets is:
A) goods and services.
B) products.
C) labor, capital, natural resources, and entrepreneurial ability.
D) resources.
E) wages, interest, rent, and profit.

Question

Exhibit 1.2
 
-Refer to the circular-flow model in Exhibit 1.2. The flow from firms to product markets is:
A) goods and services. 
B) products. 
C) labor, capital, natural resources, and entrepreneurial ability. 
D) resources. 
E) wages, interest, rent, and profit.

Quizplus · Accepted Answer

The flow from firms to product markets is the flow of goods and services produced by firms to the households.

Exhibit 1.2 -Refer to the Circular-Flow Model in Exhibit 1.2. the Flow