In a Capitalist System, the Main Flow of Money Is

question 12

Multiple Choice

In a capitalist system, the main flow of money is from investors into materials and labor costs. These sales generate profits for still more manufacturing ventures. This is related to the

• A) primary circuit of capital.
• B) second circuit of capital.
• C) additional circuit of capital.
• D) socialist circuit of capital.

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Definitions:

Comfortable Salaries

Earnings that provide individuals or families with a level of financial security that covers basic needs with additional disposable income for leisure or savings.

Horticultural Societies

Horticultural societies are communities that rely on the cultivation of plants in gardens using hand tools to sustain their way of life.

Subsistence Pattern

The means by which societies acquire the food necessary for survival, including hunting, gathering, herding, and agriculture.

McDonaldization

The notion that institutions are expected to function in ever more efficient ways, with a high degree of predictability and standardization.