Which Are the Two Markets Represented in the Circular-Flow Diagram

question 232

Essay

Which are the two markets represented in the circular-flow diagram?
A.The market for goods and services and the market for factors.
B.The markets for households and firms.
C.The market for money and the market for goods and
D.services.The market for factors and the market for money.

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Definitions:

Expectancy Model

A psychological theory stating that an individual’s motivation is based on the expectation of desired outcomes and the value they place on those outcomes.

Errors

Mistakes or inaccuracies in actions, calculations, or judgments.

Expectancy

The anticipation or belief about the likelihood of an event occurring in the future.

Perceived Relationship

The subjective understanding or interpretation of the nature, quality, and dynamics of a connection between entities.