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Which of the Following Statements Concerning the Circular Flow Is

Question 28

Multiple Choice

Which of the following statements concerning the circular flow is FALSE?


A) The circular flow of economic activity shows how the overall economy operates
B) The circular flow emphasizes the independence of economic variables
C) There are two circular flows involved in the economy
D) The circular flow shows that real income is determined by physical goods and services produced in the economy
E) None of the above

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