Figure 2-2 -Refer to Figure 2-2.If the Flow of Goods and Services

question 249

Multiple Choice

Figure 2-2
-Refer to Figure 2-2.If the flow of goods and services is part of what is represented by the inner loop of this circular-flow diagram,then

• A)the flow of factors of production is also part of what is represented by the inner loop.
• B)the flow of income paid to households is also part of what is represented by the inner loop.
• C)the flow of revenue to firms is also part of what is represented by the inner loop.
• D)households must be sellers of output.

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Depreciated Value

The reduced value of an asset over time due to wear and tear, obsolescence, or aging.

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The point where a line crosses the y-axis of a graph, represented by the value of y when x equals zero.

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A type of vehicle designed specifically for transporting products or goods efficiently.

Linear Equation

An algebraic equation in which each term is either a constant or the product of a constant and (the first power of) a single variable.