How Does a Virtual Circuit Packet-Switched Network Work

question 66

Essay

How does a virtual circuit packet-switched network work?

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Definitions:

Physical Capital

Manufactured productive resources, such as buildings and machines; often referred to simply as “capital.”

Factor Market

A marketplace for the services of a factor of production, such as labor, capital, or land.

Labor

Human effort, whether physical or mental, used in the production of goods and services.

Circular-Flow Diagram

A pictorial scheme of the economy, focusing on the exchange of dollars between households and firms through the market system.