Let's put dollar amounts on the flows in the circular flow diagram below. Costs BUSINESSES buy resources • sell products $ Resources Goods $ and services Revenue billion RESOURCE MARKET • Households sell • Businesses buy billion PRODUCT MARKET • Businesses sell Households buy Money income (wages, rents, Labor, land, capital, neurial ability Instructions: Enter your answers as a whole number. a. Suppose that businesses buy a total of $200 billion of the four resources (labor, land, capital, and entrepreneurial ability) from households. If households receive $100 billion in wages, $30 billion in rent, and $40 billion in interest, how much are households paid for providing entrepreneurial ability? Interest, profits) HOUSEHOLDS • sell resources .buy products Goods and services Consumption expendit b. If households spend $105 billion on goods and $95 billion on services, how much in revenues do businesses receive in the product market?Note:-Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.Answer completely.You will get up vote for sure. Let's put dollar amounts on the flows in the circular flow diagram below.CostsResourcesBUSINESSES- buy resources- sell products$Goodsand servicesRevenuebillionRESOURCEMARKET-Households sellBusinesses buyPRODUCTMARKETbillion-Businessos sell-Households buyLabor, landand capital, entrepreoney income (wages rentserest, profitsunal abayHOUSEHOLDSsell resources.buy productsInstructions: Enter your answers as a whole number.a. Suppose that businesses buy a total of $200 billion of the four resources (labor,land, capital, and entrepreneurial ability) from households. If households receive$100 billion in wages, $30 billion in rent, and $40 billion in interest, how muchare households paid for providing entrepreneurial ability?$Goods and serviceConsumption expenb. If households spend $105 billion on goods and $95 billion on services, howmuch in revenues do businesses receive in the product market?

The circular flow of income is an economic model that represents economic transactions in a market…

Answered: Let's put dollar amounts on the flows…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Question

Let's put dollar amounts on the flows in the circular flow diagram below. Costs BUSINESSES buy resources • sell products $ Resources Goods $ and services Revenue billion RESOURCE MARKET • Households sell • Businesses buy billion PRODUCT MARKET • Businesses sell Households buy Money income (wages, rents, Labor, land, capital, neurial ability Instructions: Enter your answers as a whole number. a. Suppose that businesses buy a total of $200 billion of the four resources (labor, land, capital, and entrepreneurial ability) from households. If households receive $100 billion in wages, $30 billion in rent, and $40 billion in interest, how much are households paid for providing entrepreneurial ability? Interest, profits) HOUSEHOLDS • sell resources .buy products Goods and services Consumption expendit b. If households spend $105 billion on goods and $95 billion on services, how much in revenues do businesses receive in the product market?

Note:-

Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
Answer completely.
You will get up vote for sure.

Let's put dollar amounts on the flows in the circular flow diagram below.
Costs
Resources
BUSINESSES
- buy resources
- sell products
$
Goods
and services
Revenue
billion
RESOURCE
MARKET
-Households sell
Businesses buy
PRODUCT
MARKET
billion
-Businessos sell
-Households buy
Labor, land
and capital, entrepre
oney income (wages rents
erest, profits
unal abay
HOUSEHOLDS
sell resources
.buy products
Instructions: Enter your answers as a whole number.
a. Suppose that businesses buy a total of $200 billion of the four resources (labor,
land, capital, and entrepreneurial ability) from households. If households receive
$100 billion in wages, $30 billion in rent, and $40 billion in interest, how much
are households paid for providing entrepreneurial ability?
$
Goods and service
Consumption expen
b. If households spend $105 billion on goods and $95 billion on services, how
much in revenues do businesses receive in the product market?

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions