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Melissa Payne
on Dec 19, 2024

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According to the circular flow model, product markets are where

A) households earn their money incomes.
B) households acquire economic resources from businesses.
C) businesses acquire their inputs from households.
D) businesses earn their revenues from households.

Product Markets

Markets where goods and services are bought and sold, connecting buyers and sellers.

Households

Economic units consisting of all individuals living in a single residence, making decisions about consumption, savings, and investment.

Business Inputs

Goods or services that are used in the production process of other goods or services, including raw materials, components, and labour.

  • Gain an understanding of the essential components and their roles in the circular flow model of a market-driven economy.
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KW
Kayla WalkerDec 20, 2024
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