An Example of a Real Flow in the Circular Flow

question 149

Multiple Choice

An example of a real flow in the circular flow diagram is

• A) a household's supply of work effort at its new business.
• B) the government's payment of wages to a soldier.
• C) Nike's payment of wages to workers in China.
• D) your county's collection of property taxes.
• E) a teacher's salary at the local high school.

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Definitions:

Francis Townsend

An American physician who was known for his advocacy for the elderly and his proposal of a pension plan to aid the elderly during the Great Depression, leading to the creation of Social Security.

Economic Recovery

The process by which a nation's economy begins to thrive again following a period of decline or recession, marked by increases in employment, consumer spending, and overall economic growth.

Industrial Workers

Employees involved in the manufacturing sector, often in factories, who contribute to the production of goods.