The Figure Given Below Represents the Circular Flow of Income

question 48

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.Assume investment spending decreases by $4, 000.Everything else being the same, what must be the new value of net trade flows in order to maintain total expenditures on business firms' output at $35, 000?

• A)-$2, 500
• B)-$1, 500
• C)$3, 500
• D)$6, 500
• E)$7, 500

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Governmental bodies responsible for executing laws and regulations within specific areas such as health, safety, and the environment.

Agency Decisions

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A body of unwritten laws based on legal precedents established by the courts.

Coomer v. Kansas City Royals Baseball Corp.

A legal case that addressed the issue of spectator injuries at sporting events and the scope of liability for professional sports teams.