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In the Circular-Flow Diagram, Payments for Labor, Land, and Capital

question 148

True/False

In the circular-flow diagram, payments for labor, land, and capital flow from firms to households through the markets for the factors of production.


Definitions:

Fraudulent

Involving deceit, trickery, or breach of confidence, intended to gain an unfair or unlawful advantage.

Tort Of Deceit

A legal wrong involving the intentional misrepresentation of fact, with the aim of making someone rely on it to their detriment.

Non Est Factum

“It is not my act”—grounds for a court to declare a contract void because a party is unaware of the nature of the contract.

Misrepresentation

A false statement of fact that induces someone into entering a contract.

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