RESOURCE MARKET BUSINESSES HOUSEHOLDS PRODUCT MARKET Which o

RESOURCE MARKET BUSINESSES HOUSEHOLDS PRODUCT MARKET Which of the following shows the flows of resources? A. 3 B. 2 C.4

Solution

The top half part of the circular flow model represent the resources market in which business exchange economic resources from household with money. There is a flow of resources from household to business through resources market.

Thus, the (2) shows the flow of resources.

So, the correct answer is an option (B).