Podcast
Questions and Answers
What is the role of households in the resource market?
What is the role of households in the resource market?
- They demand resources from firms
- They supply resources to the government (correct)
- They finance government activities
- They produce goods and services
In the product market, what is the role of firms?
In the product market, what is the role of firms?
- They provide public services
- They tax households and firms
- They supply goods and services to households (correct)
- They demand goods and services from households
What is the primary source of finance for the government?
What is the primary source of finance for the government?
- The resource market supplying goods
- Firms and the government producing goods
- Households and firms paying taxes (correct)
- Households and firms providing resources
What is the role of the government in the product market?
What is the role of the government in the product market?
What is the interaction between firms and households in the product market?
What is the interaction between firms and households in the product market?
What is the primary function of resource markets?
What is the primary function of resource markets?
In the circular flow model, what is represented by the double-lined directed arrows?
In the circular flow model, what is represented by the double-lined directed arrows?
What is the primary role of the government in the economy?
What is the primary role of the government in the economy?
What do firms pay to resource suppliers in the resource market?
What do firms pay to resource suppliers in the resource market?
In the three-sector circular flow model, what is the third sector that is added to the simple model?
In the three-sector circular flow model, what is the third sector that is added to the simple model?
What is the outcome of firms combining resources and producing goods and services?
What is the outcome of firms combining resources and producing goods and services?
What is the primary mechanism of economic coordination in a pure capitalist system?
What is the primary mechanism of economic coordination in a pure capitalist system?
What is a major disadvantage of a pure capitalist system?
What is a major disadvantage of a pure capitalist system?
What is the primary role of the government in a command economy?
What is the primary role of the government in a command economy?
What is the main function of a firm in a mixed economy?
What is the main function of a firm in a mixed economy?
What is the main role of households in a mixed economy?
What is the main role of households in a mixed economy?
How many decision-making units are typically present in a closed economy?
How many decision-making units are typically present in a closed economy?
