The Flow of "Net Taxes" in the Circular Flow Model

Multiple Choice

The flow of "net taxes" in the circular flow model with a government sector accounts for the following items, except

A) transfer payments such as social security benefits.
B) subsidies to farmers, airlines, and others.
C) proprietary income generated by public utilities and state lotteries.
D) salaries to military personnel, public school teachers, and government inspectors.