Asked by
Jordan Valenzuela
on Nov 25, 2024
Verified
According to the circular flow model of the market system, when resource-owners' money income is rising, then the costs to business firms that employ their resources must be falling.
Resource-Owners' Money Income
The income generated by individuals or entities from renting or providing their owned resources, such as land, labor, or capital, to others for use.
Costs to Business
All expenses incurred by a business in the process of producing goods or services, including both fixed and variable costs.
- Acquire knowledge on the participation of individuals and governments across diverse economic systems, particularly in command and market economies.
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Learning Objectives
- Acquire knowledge on the participation of individuals and governments across diverse economic systems, particularly in command and market economies.
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