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In the Circular-Flow Model, What Does the Flow of Expenditures

Question 76

Multiple Choice

In the circular-flow model, what does the flow of expenditures measure?  


A)  the dollar value on purchases of resources in the product market 
B)  the dollar value of purchases of both goods and services 
C)  the flow of expenditures to the owners of labour only 
D)  the flow of expenditures from the product to the resource market

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