Which of the following is a flow in the circular flow model?
A) the flow of profit and the flow of revenue
B) the flow of income earned by firms and the flow of expenditures earned by households
C) the flow of revenue received by firms and the flow of payments to resource owners
D) the flow of goods and services from households to firms
C
Economics
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In the context of both positive externalities and public goods, briefly explain why private firms or individuals might fail to make expenditures or investments that would produce broad social benefits.
What will be an ideal response?
Economics
Of the following, which is NOT a monetary policy rule the Fed could follow?
A) an unemployment rate targeting rule B) an inflation targeting rule C) a money targeting rule D) a k-percent rule E) a nominal GDP targeting rule
Economics