The circular model does not make a lot of intuitive sense to me. It takes parties to the general market, arbitrarily separates them into "groups," and places a rigid structure of Money (currency) Goods & Services. It doesn't inspire outside-the-box thinking for how to address business problems. On question 7, it seems that the answer is incorrect, because hourly wages are not exactly the same as an exchange for labor, but an offer for something dependent on results met as set in a specific contract; his payment doesn't even need to be money! Question 8 should be "none/all of the above," because any entity can buy land, labor and capital from any other entity, but there's no demarcation other than the flow of arrows!
Great explanations! I am not currently taking economics but I find your videos really interesting and easy to understand. Thank you!
Thanks Mr. Sinn! You rock!
Such a big help!! Thank you
I learn a lot! thank you sir!
thanks a million times
The circular model does not make a lot of intuitive sense to me. It takes parties to the general market, arbitrarily separates them into "groups," and places a rigid structure of Money (currency) Goods & Services. It doesn't inspire outside-the-box thinking for how to address business problems.
On question 7, it seems that the answer is incorrect, because hourly wages are not exactly the same as an exchange for labor, but an offer for something dependent on results met as set in a specific contract; his payment doesn't even need to be money!
Question 8 should be "none/all of the above," because any entity can buy land, labor and capital from any other entity, but there's no demarcation other than the flow of arrows!
coach kellogg