In a Circular Flow Model Consisting of the Household Sector,the

question 109

Multiple Choice

In a circular flow model consisting of the household sector,the business sector,product markets,and resource markets:

• A) households are sellers of products.
• B) businesses are sellers of products.
• C) households are buyers of productive resources.
• D) resource markets are sellers of products.

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Definitions:

Relatively More

A comparative term indicating that something is greater in amount, quantity, or degree when compared with another thing.

Living Standards

refer to the quality and quantity of goods and services available to people, and the way these goods and services are distributed within a population.

Birthrates

The number of live births per thousand of the population in a specific time period.

Demographic Transition

The massive decline in birth rates that occurs once a developing country achieves higher standards of living because the perceived marginal cost of additional children begins to exceed the perceived marginal benefit.