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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