Which of the Following Is NOT True of the Circular

question 24

Multiple Choice

Which of the following is NOT true of the circular model of the economy?

• A) Personal consumption spending flows from households to firms.
• B) The production of goods and services generates income for households.
• C) Consumers finance their personal consumption spending by supplying factors of production to firms.
• D) Payments to factors of production flows from households to firms.

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Definitions:

Observational Learning

A learning process through which individuals acquire new behaviors or knowledge by watching and imitating others.

Reproduction

The biological process by which new individual organisms are produced by their parents.

Reinforcement

A process in learning theory used to encourage or establish a desired behavior by offering rewards or consequences.

Kolb's Learning Styles

A theory that identifies four distinct learning styles—converging, diverging, assimilating, and accommodating—based on how individuals process information and experience.