Which one of the following statements is true?

Question

Quizplus · Accepted Answer

Resource payments, such as wages, salaries, and dividends, flow from firms to households. This is because households supply the labor and other factors of production that firms use to produce goods and services. Taxes flow from households and firms to the government, and the government may provide resources (such as transfer payments) to households, but the primary flow of resources is from firms to households.

Which One of the Following Statements Is True