1. 1. Which statement is true about the circular flow diagram?
A      Households are demanders in the product market and suppliers in the factor market
B       Business are demanders in the product market and suppliers in the factor market.
C      Households are demanders in the factor market and suppliers in the product market.
D      Businesses and households are not components of the circular flow diagram.

2. 2. The SOLID arrows on this circular flow diagram represent the flow of
A      goods and services.
B       money.
C      taxes.
D      imports and exports.

3. 3. The DASHED arrows on this circular flow diagram represent the flow of
A      goods and services.
B       money.
C      taxes.
D      imports and exports.