The Figure Given Below Represents the Circular Flow of Income

question 93

Multiple Choice

The figure given below represents the circular flow of income between households, firms, financial intermediaries, and foreign countries. Figure 4.2 Refer to Figure 4.2.What is the total savings of the household sector?

• A)$35, 000
• B)$25, 000
• C)$17, 500
• D)$42, 500
• E)$45, 000

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Definitions:

Functionalist Perspective

A viewpoint within sociology that emphasizes the role that each part of society plays in maintaining the stability and functioning of the whole.

Ethnocentrism

The tendency to view one’s own culture as superior to all others.

Cultural Relativism

The principle that an individual's beliefs and activities should be understood in terms of their own culture, rather than judged against the criteria of another.

Sociological Imagination

C. W. Mills’s term for the ability to perceive how dynamic social forces influence individual lives.