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In the Circular Flow Model, Which of the Following Is

question 17

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In the circular flow model, which of the following is considered a leakage?


Definitions:

Consumption

The action of using goods and services to satisfy needs or wants.

Consumption

The act of using goods and services by households, which is a primary component in measuring gross domestic product (GDP) in economics.

Consumer's Surplus

The disparity between what consumers are prepared and can afford to spend on a product or service and the actual amount they end up paying.

Total Amount

The complete sum or quantity of something, encompassing all parts or units counted.

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