In the Markets for the Factors of Production in the Circular-Flow

question 160

Multiple Choice

In the markets for the factors of production in the circular-flow diagram,

• A)households are sellers and firms are buyers.
• B)households are buyers and firms are sellers.
• C)households and firms are both buyers.
• D)households and firms are both sellers.

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Definitions:

Consent Decrees

Legal agreements that settle a dispute between parties without admission of guilt but with the agreement to do or stop doing a certain activity.

Antitrust Case

Legal action taken against parties accused of violating antitrust laws, aimed at promoting competition and preventing monopolies.

Antitrust Division

A sector of the government, often within the Department of Justice, responsible for preventing monopolies and promoting market competition by enforcing antitrust laws.

Justice Department

A government department responsible for the enforcement of laws and administration of justice, typically at the national level.