Question

In the simple circular flow of economic activity, goods and services flow via.....

1. Factor markets from households to firms
2. Goods markets from households to firms
3. Factor markets from firms to households
4. Goods markets from firms to households

B. Use the following two statement to answer the question.

A. The factors of production are capital, rent ,money and labour
B. Net exports are equal to exports plus imports

1. Only B is correct
2. A is incorrect and B is correct
3. Both A and B are correct
4. Both A and B are incorrect

Answer 1

A1 and B4