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The movement of income from producers of goods and services to consumers and back to producers is known as what?
Wiki User
∙ 12y ago
Circular Flow Of Income
Wiki User
∙ 12y ago
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The movement of income from producers of goods and services to consumers and back to producers is known as the?
The movement of income from producers of goods and services to consumers, and back to the producer is known as the circular flow. Circular flow is generally shown in a circular flow chart or model.
What is the circular flow of economic activity?
[NovaNet] the movement of income from producers of goods and services to consumers, and back to producers. [Study Island] Consumer spending drives demand for goods and services.
Circular flow refers to the economic model that describes which of the following?
mutual circulation of income between producers and consumers
Which of the followings results in an increase in the standard of living?
income increases, enabling consumers to buy more goods and services
If the government raises everyone's taxes consumers have less money or income to spend on consumer goods and services.?
true A+
If the government raises everyone's taxes consumers have less money or income to spend on consumer goods and services?
true A+
To which principle does circular flow refer?
The circular flow refers to a simple economic model which describes the reciprocal circulation of income between the consumers and producers. Thanks
What is 'micro-financing'?
Microfinancing is the provision of financial services to low-income clients, including consumers and the self-employed, who traditionally lack access to banking and related services
What is micro-financing?
Microfinancing is the provision of financial services to low-income clients, including consumers and the self-employed, who traditionally lack access to banking and related services
Definition of equilibrium income?
This is established where aggregate quantity supplied is equal to aggregate quantity demanded. It is the central tendency of real income that equates the plans of consumers with those of producers. It is a stable level of income, so long as the various factors in the model DO NOT change.
If the income elasticity of demand for a product is -0.5 then?
Income Elasticity:Income Elasticity of Demand is measure of percentage change in demand for a commodity due to 1% change in income of consumers. Negative Income Elasticity :Increase in Income of consumers lead to decrease in the quantity demanded for a commodity.Example: unbranded items.so if Income Elasticity for product is -0.5 then its demand will be decreases as Income of consumers increases.
In what way the income of the consumer affect his buying behavior?
if consumers are receiving a low income then
