38 in the simple circular-flow diagram, who buys the factors of production?

Factors of production: In economics, factors of production are inputs. They may also refer specifically to the primary factors, which are stocks including land, labor, and capital goods applied to production. circular flow: A model of market economy that shows the flow of dollars between households and firms. In economics, the “circular flow” diagram is a simple … 1. Circular Flow of Money between Household and Business Sectors: We begin with a simple hypothetical economy where there are only two sectors, the household and business. The household sector owns all the factors of production that is land, labor, capital and enterprise. This sector receives income in the form of rent, wages, interest and ...

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In the simple circular-flow diagram, who buys the factors of production?

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In the simple circular-flow diagram, who buys the factors of production?. Get 24⁄7 customer support help when you place a homework help service order with us. We will guide you on how to place your essay help, proofreading and editing your draft – fixing the grammar, spelling, or formatting of your paper easily and cheaply. B. Evan buys a new couch; the owner of the furniture store uses some of the money from the sale to pay her supplier, and uses the rest to take her family out to dinner. C. Boeing experiences a surge in orders for new airplanes, prompting the company to hire more workers. D. All of these answers illustrate the workings of the circular flow model Academia.edu is a platform for academics to share research papers. The simple circular flow model shows that: A. households are on the buying side of both product and resource markets B. businesses are on the buying side of the product market and on the selling side the resource market C. businesses are on the selling side of both product and resource markets

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Circular Flow Diagram in Economics: Definition & Example ...