Economy, asked by poonamrrathore, 5 months ago



1) what do you mean by circular flow of income. explain if phases, with diagram?

Answers

Answered by mannat200891
1

Answer:

Circular flow of income refers to the continuous circulation of production, income generation and expenditure involving different sectors of the economy. ... (iii) Expenditure phase In this phase, the income received by factors of production, is spent on the goods and services produced by firms.

The 3 phases of circular flow are:

1 Generation Phase

2 Distribution Phase

3 Disposition Phase

Answered by mahi946535
4

Answer:

Circular flow of income refers to the continuous circulation of production, income generation and expenditure involving different sectors of the economy. ... (iii) Expenditure phase In this phase, the income received by factors of production, is spent on the goods and services produced by firms.

Explanation:

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