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The Circular Flow Model with Government Included Would Show That

Question 106

Multiple Choice

The circular flow model with government included would show that government


A) controls economic resources and sells them in the resource market.
B) produces goods and services and sells them in the product market to generate net taxes.
C) provides goods and services to businesses and households and pays for them with net taxes.
D) obtains revenues in the product market and uses them to cover costs in the resource market.

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