In the circular-flow s of people (usually a family)who share their income is a(n):
A) market.
B) factor.
C) household.
D) business.

Question

Quizplus · Accepted Answer

The circular-flow of income model depicts the flow of income between households and businesses. In this model, a household is an economic unit that shares its income among its members. Therefore, the correct choice is C, which represents a household. A market refers to a place where buyers and sellers exchange goods and services, while a factor refers to a productive resource used to produce goods and services. A business refers to an economic unit that produces goods and services for sale in the market.

In the Circular-Flow S of People (Usually a Family)who Share