In the Expanded Circular Flow Diagram, the Government Supplies

question 138

Multiple Choice

In the expanded circular flow diagram, the government supplies

• A) goods and services to the product market.
• B) factors of production to the factor market.
• C) goods and services to households.
• D) factors of production to firms.

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Definitions:

Property Ownership

The legal right to possess, control, benefit from, and transfer real estate or personal property.

Heir

A person legally entitled to receive part of the estate of a deceased person, either by will or through intestate succession laws.

Specific Warranty Deed

A legal document that transfers real estate ownership, guaranteeing the property is free from claims and liens only during the grantor's ownership.

General Warranty Deed

A legal document transferring property ownership that guarantees the seller holds clear title and assumes responsibility for any title defects.