Examlex

Solved

Which Actor in the Simplified Circular Flow Model Is on the Supply

question 12

Multiple Choice

Which actor in the simplified circular flow model is on the supply side of the factor market?


Definitions:

Free Rider

An individual who benefits from resources, goods, or services without paying for the cost of the benefit.

Nonexcludable

Describes a good or service that prevents individuals from being excluded from using it; typically, because it is not feasible or cost-effective to do so.

Inefficiently High Level

A scenario where more resources are used than necessary, leading to waste and inefficiency.

Common Resource

A type of good that provides benefits to many individuals, but which has the potential to be depleted or overused because it is not excludable.

Related Questions