In the Circular-Flow Diagram, Which Flows Are Involved

question 81

Multiple Choice

In the circular-flow diagram, which flows are involved?

• A) Income from factors of production flows from firms to households.
• B) Goods and services flow from households to firms.
• C) Factors of production flow from firms to households.
• D) Spending on goods and services flow from firms to households.

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Definitions:

Oxygen Balance

A concept in chemistry indicating the relative amount of oxygen available for reactions, important in evaluating the explosive potential of chemicals.

RDX

An abbreviation for Royal Demolition Explosive or Research Department Explosive, a highly energetic nitroamine used as an explosive.

Positive

Exhibiting or characterized by a beneficial, affirmative, or constructive quality or attribute.

TNT

Trinitrotoluene, a yellow, odorless, explosive material used commonly as a high explosive.