In the Circular Flow Diagram What Are the Three Types

question 78

Essay

In the circular flow diagram what are the three types of payments from firms to factors of production? Is the sum of these payments greater than, less than, or equal to GDP?

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Definitions:

Expectancy Model

A psychological theory that explains motivation as a function of an individual's expectations about their ability to perform tasks and the expected outcomes of those tasks.

Equity Model

A theoretical framework that suggests fairness and equality in relationships or transactions leads to satisfaction and productivity.

Motivator-hygiene

A theory in organizational behavior that suggests employee satisfaction and motivation are influenced by two factors: motivators that lead to job satisfaction and hygiene factors that prevent dissatisfaction.

Two-week Paid Vacation

A standard employee benefit in many organizations, offering a prolonged period of paid time off, typically two weeks, for rest and recreation.