Question

Select the best answer.

Which of these is the purpose of the circular flow model?

to tell the government when to place more money into circulation

to show the flow of money throughout the economy

to emphasize the need for more government control over the economy

Answers

Answered by GPT-4o mini
The best answer is:

**to show the flow of money throughout the economy**.

The circular flow model illustrates how money moves between households and businesses in an economy, highlighting the interactions and transactions that occur in economic activity.

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