This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Explain the structure of the circular flow model. What will be an ideal ... (Read 36 times)

BrownTown3

  • Hero Member
  • *****
  • Posts: 564
on: Jun 29, 2018
Explain the structure of the circular flow model.
 
  What will be an ideal response?

Question 2

Recall the Application. Assume that immediately before the housing bubble burst, you purchased a 250,000 home and took out a 225,000 mortgage to make the purchase. When the bubble burst, the value of your home fell by 20 percent.
 
  The value of the home is now ________ and you owe the mortgage company ________.
  A) 180,000; 225,000 B) 200,000; 180,000 C) 200,000; 225,000 D) 180,000; 200,000


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

dyrone

  • Sr. Member
  • ****
  • Posts: 322
Reply #1 on: Jun 29, 2018
Answer to Question 1

Households own the factors of production and sell the services from them to firms in the factor market. Income earned by households in the factor market is used to purchase goods and services from firms in the goods market. And the revenue the firms gain by selling the goods and services in the goods market is used to pay for the services of the factors of production they hire in the factor markets.

Answer to Question 2

C


BrownTown3

  • Hero Member
  • *****
  • Posts: 564
Reply #2 on: Jun 29, 2018
Correct answers!


dyrone

  • Sr. Member
  • ****
  • Posts: 322
Reply #3 on: Jun 29, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

About 3.2 billion people, nearly half the world population, are at risk for malaria. In 2015, there are about 214 million malaria cases and an estimated 438,000 malaria deaths.

Did you know?

According to the American College of Allergy, Asthma & Immunology, more than 50 million Americans have some kind of food allergy. Food allergies affect between 4 and 6% of children, and 4% of adults, according to the CDC. The most common food allergies include shellfish, peanuts, walnuts, fish, eggs, milk, and soy.

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

Did you know?

More than 2,500 barbiturates have been synthesized. At the height of their popularity, about 50 were marketed for human use.

Neuron (nerve cell) structure. Neuron (nerve cell) structure.
When the PCM commands 50% duty cycle, the oil flow through the phaser drops to zero. When the PCM commands 50% duty cycle, the oil flow through the phaser drops to zero.
Flow Patterns and Large-Scale Weather: The Steering of Midlatitude Cyclones Flow Patterns and Large-Scale Weather: The Steering of Midlatitude Cyclones
A model for initiation of E. coli DNA replication at oric A model for initiation of E. coli DNA replication at oric
The density of Pb(s) is 11.34 g/cm3. Pb(s) exists in the cubic-closest packed structure The density of Pb(s) is 11.34 g/cm3. Pb(s) exists in the cubic-closest packed structure
The tertiary level of protein structure for the respiratory pigment myoglobin The tertiary level of protein structure for the respiratory pigment myoglobin
Video: Simple Diffusion - gases and nonpolar compounds transport

For a complete list of videos, visit our video library