Figure 1.2
Using the figure above, identify the labeled part.
-Label L: ______________________________
Definitions:
Households
Economic units consisting of all individuals living in a single residence, making decisions about consumption, savings, and investment.
Business Inputs
Goods or services that are used in the production process of other goods or services, including raw materials, components, and labour.
Command Economy
An economic system where the government, rather than the free market, determines what goods should be produced, how much should be produced, and the price at which goods will be offered for sale.
Political Hierarchy
A system of organization within a political entity or government where individuals or groups are ranked one above the other based on authority or power.