1.which labels, according to the diagram represent expenditures, or goods and services?
a. b
b. d
c. a
d. c
2. which of the following is most likely to happen if many families in a community stop
spending as much money at the local grocery store?
a. farmers would produce more crops to increase supply.
b. the grocery store would lay off several employees.
c. the grocery store would invest in more displays.
d. the families would have to begin growing their own food.
3.what is an economy's total output divided by its total population called?
a. gross national product
b. circular flow
c. gross domestic product per capita
d. net export
my answers:
1.b
2.c
3. d

1. Option B

2. Option A

3. Option C

Explanation:

Question 1

Refer to the graph for solutions as displayed on the graph.

Question 2

As people are spending their money, there is a general increase in the need of the products. In order for the grocery store to sustain its customers, it means that the supplies must be increased. The only way this can happen is for farmers to produce more crops to increase supply.

Question 3

The total output per person is called the gross domestic product per capita.  

This is the GDP divided by the population.

This is also known as the nominal.

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