In the circular flow model, for every flow of goods, services, and resources there is a counter-flow of
a. more goods, services, and resources
b. people from firms to households
c. people from households to firms
d. money
e. land, labor, capital, and entrepreneurship
D
You might also like to view...
A secondary market is one in which
A) new securities are issued. B) financial intermediaries make loans. C) savers place funds in financial intermediaries. D) existing securities can be bought and sold.
The RBV perspective predicts
a. firm's profitability differs only if they are in different industries b. firms within an industry are equally profitable c. firm's profitability within industries varies widely d. Only A&B
Which of the following statements is correct? Most economists
A. think that protectionism is a vital and necessary component in a nation's economic policy. B. prefer to let the market forces of supply and demand solve trade imbalances. C. believe that tariffs and quotas are efficient and effective measures. D. believe product standards, export subsidies, and exchange controls are desirable trade practices, but quotas and tariffs only provoke retaliation.
Figure 10-5
In Figure 10-5, which graph best illustrates the situation of an economy with high unemployment that experiences an increase in investment spending?
a.
(1)
b.
(2)
c.
(3)
d.
(4)