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In the Circular Flow Model,the Expenditures on Goods and Services

Question 162

Multiple Choice

In the circular flow model,the expenditures on goods and services flow in the


A) same direction as goods and services in all cases.
B) same direction as goods and services only if they both flow through the goods market.
C) same direction as goods and services only if they both flow through the factor market.
D) opposite direction as goods and services.
E) same direction as factor markets.

Correct Answer:

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