In the Circular Flow Diagram, Who Owns the Factors of Production

question 247

Short Answer

In the circular flow diagram, who owns the factors of production and consumes all of the goods and services produced?

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Definitions:

Self-Conscious Emotions

Arise from internal sources, and social emotions derive from external sources.

Regulate Relationships

The action of managing and controlling interactions and connections between individuals or groups to ensure they are positive and constructive.

Social Emotions

The feelings that arise from interactions with others or are experienced in social situations.

Pity, Envy

Emotional states where pity involves feeling sorry for someone's misfortune, and envy entails desiring what someone else has.