Which Statement Is FALSE About the Circular-Flow Diagram

question 219

Multiple Choice

Which statement is FALSE about the circular-flow diagram?

• A)Households are the primary demanders of goods and services.
• B)Firms are the primary suppliers of goods and services.
• C)Money flows from households to firms as households offer factors of production for sale.
• D)Money flows in the direction opposite to goods and services and factors of production.

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Definitions:

Dramatic Growth

Dramatic growth is a term used to describe a rapid and significant increase or development in a particular area, such as a company's revenue, a country's economy, or an individual's learning.

Temporal Lobe

A region of the brain involved in processing auditory information and is also associated with language, memory, and emotion.

Parietal Lobe

A region of the cerebral cortex involved in processing sensory information regarding the location of parts of the body as well as interpreting visual information and processing language and mathematics.

Frontal Lobe

The part of the brain located at the front of each cerebral hemisphere, responsible for decision making, problem solving, and controlling behavior.