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6. what will happen to the economy if spending falls

  • reduced demand, job loses, lower living standards, increased crime
  • increased crime
  • interest rates are reduced
  • nothing

7. In the cf who pays taxes to the government

  • firms and households
  • the government doesn't receive taxes
  • household
  • firms

8. what are the withdrawals and injections into the cirlcuar flow?

  • government, households, firms
  • withdrawals = imports, tax,saving injections= exports, investments, government spending
  • imports, tax, exports, government spending

9. what is the circular flow of income?

  • the movement of spending and income throughout an economy
  • the movement of income in the world
  • the movement of goods in an economy