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Question Practice

What does it mean if there are 'leakages' in the circular flow of income?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Economics
Introductory Macroeconomics
National Income Accounting
Question Bank

What does it mean if there are...

Single Answer MCQ
Q-00106714

What does it mean if there are 'leakages' in the circular flow of income?

1

Money leaving the firms

2

Income not spent on domestic goods

3

Savings by households

4

Increased production

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