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refer to the diagram. flow 2 represents multiple choice wage, rent, interest, and profit income. land, labor, capital, and entrepreneurial ability. goods and services. consumer expenditures.
refer to the diagram. flow 2 represents multiple choice wage, rent, interest, and profit income. land, labor, capital, and entrepreneurial ability. goods and services. consumer expenditures.
Flow 2 represents b. land, labor, capital, and entrepreneurial abilityWhat do households give to businesses ?In the circular flow model of the economy, households give factors of production to businesses. Households provide land resources for various economic activities. This includes the physical space where businesses operate, as well as natural resources such as minerals, forests, and agricultural land.Households contribute capital by saving and investing in businesses. This can be in the form of financial investments, such as stocks and bonds, which provide businesses with funds for expansion and investment in new projects.Some households include entrepreneurs who take the initiative to create and manage businesses. These individuals bring innovation and creativity to the economy, starting new ventures and driving economic growth....