The Circular Flow Diagram Shows That

question 122

Multiple Choice

The circular flow diagram shows that

• A) the total amount of income generated by the economy equals the total purchases of final goods and services.
• B) consumption expenditure equals saving.
• C) the flow of payments to the factors used to produce goods and services exceeds the flow of payments for final goods and services.
• D) goods and factor markets are independent.

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Definitions:

Leadership Traits

Specific attributes, qualities, and characteristics of individuals that make them effective leaders.

Sociability

The trait or quality of being sociable, describing an individual's tendency to engage and interact positively with others in social settings.

Self-Confidence

The belief in one's abilities and judgment, often seen as a crucial trait for leaders to inspire trust and respect from followers.

Affective Domain

Relates to emotions and feelings, highlighting the impact of emotional processes in learning, behaviour, and performance.