Author Question: In the four-sector circular flow model, households will use their incomes to do all but which one of ... (Read 87 times)

dejastew · **on:** Jun 30, 2018

In the four-sector circular flow model, households will use their incomes to do all but which one of the following?
a. Save.
b. Pay taxes.
c. Buy domestic goods and services.
d. Buy imported goods and services.
e. Invest.

Question 2

Which one of the following statements is true?
a. Resources flow from the government to firms.
b. Taxes flow from foreign economies to the government.
c. Goods and services flow from households to foreign economies.
d. Resources flow from households to firms.
e. Resource payments flow from households to the government.