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Question 1 0.5 pts Circular Flow Model is a tool that allows us to see all the parts of an economy and their together in one diagram. [ Choose ] Question 2 0.5 pts expenditure includes household purchases on goods and services. [Choose ] Question 3 0.5 pts Markets in which firms obtain labor services, capital and natural inputs from households are markets. factor factor factor wages Choose Question 4 0.5 pts to a For example, a firm will pay household for the service of their labor. [ Choose] Question 5 0.5 pts Households have three primary expenditures with their income: consumption, and taxes. [Choose ] Question 6 0.5 pts The financial market is an intermediary between households that save and firms that borrow to invest. This market is sometimes called the funds market [Choose ] D Question 7 0.5 pts are the addition to capital. [Choose ] Question 8 0.5 pts Taxes shift funds from the private sector to the public sector. The government makes purchases in the market with some of the revenues. [Choose ] D Question 9 0.5 pts General Equilibrium states that in an economy with multiple markets, demand and supply from each market is related to another, thereby arriving at corresponding equilibrium prices. At equilibrium domestic income must equal domestic [ Choose D Question 10 0.5 pts A leakage is any part of income that is not used for domestic consumption. An injection is any purchase in the outputs market that does not come directly from household consumption. For example, imports are a leakage and exports are aln) [Choose [Choose ] loanable output injection 1 connections f Consumption savings factor investments wages