Question : In the circular flow of income ________ are the owners of factor of production and _______ produces goods and services.
Option 1: Households, firms
Option 2: Firms, households
Option 3: Government, firms
Option 4: Foreign sector, government
Correct Answer: Households, firms
Solution :
Question : The flow of factor services from households to firms and corresponding flow of goods and services from firms to household. This mechanism is known as _____________.
Question : In the circular flow of income, households are the ______ of factors of production and ______ of goods and services.
Question : In the circular flow of income, firms are the ______ of goods and services and ______ of factors of production.
Question : Flow of Goods and Services and factors of production across different sectors in a barter economy is known as:
Question : When private sector does not find producing certain goods and services attractive, production of such goods and services is taken by the government. This refers to the ______ objective of Government Budget
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