In the Circular-Flow Diagram,which of the Following Items Flows from Households

question 22

Multiple Choice

In the circular-flow diagram,which of the following items flows from households to firms through the markets for goods and services?

• A)goods and services
• B)dollars paid to land,labor,and capital
• C)dollars spent on goods and services
• D)wages,rent,and profit

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Definitions:

Stock Prices

The cost of purchasing a share of a company's stock, determined by supply and demand in the market.

Divisor

A number that divides into another number, typically referred to in the context of indices calculation in finance.

Money Market Investment

Short-term financial instruments with high liquidity, often used for cash management by investors and companies.

Bankers' Acceptance

A short-term financial instrument issued by a company that is guaranteed by a commercial bank.