Which of the Following Is Illustrated by the Circular Flow

Multiple Choice

Which of the following is illustrated by the circular flow of income?

A) the interaction of households and firms through the factors and goods markets
B) that there is no relationship between goods markets and factor markets
C) the flows of expenditures and income in a household
D) that the flow of payments moves in the same direction as the flow of goods
E) that firms own the factors of production