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10. In the circular flow diagram, which of the following is true in the product market? a. Households sell goods and services to business firms.

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10. In the circular flow diagram, which of the following is true in the product market? a. Households sell goods and services to business firms. b . Households sell resources to business firms. C . Business firms sell resources to households. d. Business firms sell goods and services to households. e. Households buy resources from business firms. 12. In the circular flow diagram, which of the following is true in resource (factor) markets a. Households buy resources from business firms. b. Households sell products to business firms. C . Households sell resources to business firms. d. Business firms sell goods and services to households. e . Business firms sell resources to households. 13. Which of the following is a "leakage" from the circular flow of economic activity? a. Saving b. Investment C . Exports d. Government spending e. Income 14. The largest dollar amount of national income is a. rental payments. b. government expenditures on goods and services. C. profit. d. net interest. e. wages and salaries to employees. Original Score

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