1. In the circular flow model, the source of the factors of production used to create goods and services is household.

In the circular flow diagram, the sources of income for the household are ( ) A: wages B: rent C: interest D: subsidies from the government

In the circular flow model, for every flow of goods, services, and<br/>resources there is a counter-flow of’ ( ) A: more goods, services, and resources. B: people from firms to households. C: people from households to firms. D: money.

Which of the following is true regarding the circular flow diagram? A: I only B: I and II C: I and III D: III only

According to the circular flow diagram, the dollar value of a nation's output is equal to________ A: profits. B: total income. C: net income minus taxes. D: wages.

In the simple circular-flow diagram, A: households own the factors of production. B: households buy all the goods and services that firms produce. C: land, labor, and capital flow from households to firms. D: All of the above are correct.

A circular-flow diagram is a<br/>model that(<br/>) A: illustrates cost-benefit<br/>analysis. B: explains how the economy<br/>is organized. C: shows the flow of traffic<br/>in an economic region. D: explains how banks<br/>circulate money in the economy.

In a simple circular-flow diagram, ( )

2. In a simple circular-flow diagram, ( ) A: households spend all of their income. B: all goods and services are bought by households. C: expenditures flow through the markets for goods and services, while income flows through the markets for the factors of production. D: All of the above are correct.

循环流量图（circular-flow diagram）