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Assume that households buy $ 1 million worth of goods and services. Based on the circular flow diagram, what are the values of the factors
Assume that households buy $ million worth of goods and services. Based on the circular flow diagram, what are the values of the factors of production bought and sold in this economy?
a The value of the factors of production bought must be less than $ million dollars as is the value of the factors of production sold.
b The value of the factors of production bought must equal $ million dollars but the value of the factors of production sold is less than $ million dollars.
c The value of the factors of production bought must be less than $ million dollars, but value of the factors of production sold must equal $ million.
d Both the value of the factors of production bought and the value of the factors of production sold will be $ million.
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