Presentation ~ above theme: "Circular flow Lesson 2, activity 5 1. Offer three examples of resource owners. Answers will certainly vary, answer have the right to be anyone who has land, labor, resources or entrepreneurship."— Presentation transcript:
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1 Circular circulation Lesson 2, task 5 1. Provide three instances of source owners. Answers will vary, answer deserve to be anyone who has actually land, labor, resources or entrepreneurship to sell in the aspect market.
2 Circular flow Lesson 2, activity 5 2. Define a service firm. A service firm buys resources and, in turn, selling goods and services to resource owners.
3 Circular circulation Lesson 2, activity 5 3. What is the product market? A industry where perfect goods and services are bought and also sold.
4 Circular circulation Lesson 2, activity 5 4. Give three instances of transaction girlfriend made this mainly in the product market. Any type of purchase the a an excellent or service is correct
5 Circular circulation Lesson 2, activity 5 5. What is a aspect market? A market where the determinants of production (land, labor, capital, entrepreneurship) room bought and sold.
6 Circular circulation Lesson 2, activity 5 6. Give an example of a transaction you or your family made this month in a element market. It most likely would be salaries for labor, although numerous other transactions space possible.
7 Circular circulation Lesson 2, task 5 7. Exactly how are businesses connected to factor and also product markets? lock buy in the element market and also sell in the product market.
8 Circular flow Lesson 2, activity 5 8. What determines the prices of land, labor, capital and also entrepreneurship in a factor market? Supply and Demand
9 Circular circulation Lesson 2, task 5 9. Whereby do source owners gain the money to buy goods and services in the product market? From offering their sources in the variable market.
10 Circular circulation Lesson 2, activity 5 10. Wherein do organization firms obtain the money come pay resource owners because that the land, labor, capital and entrepreneurship in factor markets? From marketing the goods and services they create with the determinants of production.
11 Circular circulation Lesson 2, task 5 11. Why is it important to recognize that a market economy is characterized by interdependence? Interdependence is important because people specialization & profession their manufacturing in industries for their products they need.
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The circular flow of earnings shows the interdependence of the economy.