--%>

Simple circular flow model

The simple circular flow model illustrates that: A) households are on the buying side of both product and resource markets. B) businesses are on the selling side of both product and resource markets. C) households are on the selling side of the resource market and on the buying side of the product market. D) businesses are on the buying side of the product market and on the selling side of the resource market.

   Related Questions in Microeconomics

  • Q : Problem on equilibrium market price I

    I have a problem in economics on equilibrium market price. Please help me in the following question. The equilibrium market price subsists only if: (1) Quantity demanded equivalents the quantity supplied. (2) Surpluses exceed the shortages. (3) Expert

  • Q : State drawbacks of barter system State

    State drawbacks of barter system: A) Both sale and purchase must take place concurrently implying double coincidence of wants. B) There is no general unit of exchange in barter system, accordingly exchange s

  • Q : Problem on Long-Run Adjustments Since

    Since longer time intervals are considered, the quantities demanded for most goods become __________ to any modification in price. (1) Directly related. (2) Less responsive. (3) Less enamored. (4) Indifferent. (5) More responsive.Find out the right answer from t

  • Q : Profit Maximization-Labor Markets

    When after hiring the very last worker, the organization’s profit is similar as it was prior to the last worker was hired, the firm must: (1) Hire more workers to raise the profit. (2) Layoff several workers to raise gain. (3) Not hire any more workers. (4) Shut

  • Q : Individual taker in pure competition

    For a particular price taker: (w) price is uninfluenced by quantity. (x) total revenue is constant. (y) profit is constant. (z) consumer surplus is zero. I need a good answer on the topic of Economics

  • Q : Potential advantage offer by Oligopolies

    Oligopolies offer a potential advantage to society since them: (w) may be capable to amass the huge resources required for modern research and growth. (x) tend to be more socially responsible than small firms. (y) typically maximize long run quite tha

  • Q : Problem on Advocacy of maximizing

    Advocacy of maximizing happiness for huge number of people is a hallmark for: (a) Monarchy. (b) Laissez faire capitalism.  (c) Utilitarianism. (d) Communism. (e) Democratic socialism. Find out the right answer from the above options.

  • Q : Derived Demand for resources I have a

    I have a problem in economics on Derived Demand for resources. Please help me in the following question. As demands for the resources ultimately based on consumer’s demands for goods then the demand for labor is: (1) Termed as a derived demand.

  • Q : Net income by negative income tax Under

    Under the negative income tax system demonstrated in this figure, a family of four along with no earned income would have a net after-tax income of: (1) $15,000 per year. (2) $10,000 per year. (3) $5,000 per year. (4) $2,500 per year. (5) $0 per year.

  • Q : Define Price discrimination Price

    Price discrimination: The Price discrimination is a situation whenever a monopolist charges distinct price from various buyers of the similar product. This is usually done to maximize profits.