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Using the outline below, draw a circular-flow diagram representing the interactions between households and firms in a simple economy. Explain briefly the various parts of the diagram.
Attitude Change Theory
A collection of theoretical frameworks that describe how and why people's attitudes towards objects, ideas, or other people change.
Behaviour Change
The process by which individuals modify aspects of their behavior in response to new information, experiences, or environments.
Third-Person Effect
The belief that others are more affected by media messages and propaganda than oneself, often leading to an underestimation of the effect on oneself.
Persuasive Messages
Communications designed to influence the attitudes, beliefs, or behaviors of the receiver.
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