Circular Flow Of Income Jamb Economics Past Questions
Question 1
The interdependence between households and business enterprises illustrated in the figure is known as
- A. Market interaction
- B. Cash flow
- C. Circular flow of income
- D. Supply and demand for goods and services
- E. Household preference schedule
Question 2
Which of the following occurs in the circular flow of economic activities with no leakages
- A. Consumption equals saving
- B. Saving equals investment
- C. Imports equal exports
- D. National income equals national expenditure
Question 3
In the circular flow of income model, the outflow variables represent
- A. Income
- B. Expenditure
- C. Injections
- D. Leakages
Question 4
In the circular flow of income above, the direction of flow of payments for consumption purchases is shown by the arrow
- A. K
- B. L
- C. M
- D. N
Question 5
The flow labelled Y refers to
- A. real income
- B. factor payment
- C. factor input
- D. national income
