Which Idea Does the Circular Flow Model Illustrate

question 21

Multiple Choice

Which idea does the circular flow model illustrate?

• A) Every expenditure someone makes in an economy is exactly equal to another individual's income.
• B) Only two markets exist in every economy-input and output.
• C) Income is lower when there is more spending on services compared to goods.
• D) The flow of two things in the economy-production and money-travel in the same direction.

---

Definitions:

Military

Relates to the armed forces or their activities, including training, discipline, and engagement in warfare.

Emotional Problems

Issues related to an individual's emotional well-being, including difficulties with emotional regulation or experiencing overwhelming negative emotions.

Academic Achievement

The level of accomplishment a student, teacher, or educational institution has reached in meeting their short-term or long-term learning objectives.

Extended Families

Family groups that extend beyond the immediate nuclear family to include grandparents, aunts, uncles, and other relatives.