Circular Flow of Income

Circular Flow of Income

Macroeconomics

Multiple Choice

Households provide factor payments.

• True

• False

Multiple Choice

Households spend on goods and services

• True

• False

Multiple Choice

Payment of factor incomes are called money flows

• True

• False

Multiple Choice

The flow of goods and services are called real flows.

• True

• True

Multiple Choice

Savings

• Leakage

• Injection

Multiple Choice

Investments

• Leakages

• Injections

Multiple Choice

Taxes

• Leakages

• Injections

Multiple Choice

Expenditure on Imports

• Leakage

• Injection

Multiple Choice

Government Expenditure

• Leakage

• Injection

Multiple Choice

Export Earnings

• Withdrawals

• Injections