In the Circular Flow Model, Who Hires the Factors of Production

question 170

Multiple Choice

In the circular flow model, who hires the factors of production in the factor markets?

• A) an agency of the Federal government
• B) only households
• C) the goods market
• D) only firms
• E) both firms and households

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Definitions:

Force Field Analysis

A management technique developed by Kurt Lewin, used for decision-making and problem-solving, which analyzes forces for and against a change.

Driving Forces

Elements or factors that influence change within an organization or system, propelling it towards a specific direction.

Break Old Routines

The act of changing established habits or patterns of behavior to improve outcomes or adapt to new circumstances.

Resistance Change

The opposition or reluctance to modify existing routines, practices, or structures within an organization or personal behavior.