Economics Multiple Choice Question – 31 July 2019

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Which of the following consists only of injections into the circular flow of income?

Select ONE answer:

  1. exports, government spending and investment
  2. government spending, investment and savings
  3. imports, investment and taxation
  4. imports, savings and taxation

Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple choice question is suitable for Economics KS5 classes.

The answer is 1

  1. Correct: Exports, government spending and taxation are all injections.
  2. Although government spending and investment are injections, saving is a leakage.
  3. Investment is an injection but savings and taxation are leakages
  4. Imports, savings and taxation are all leakages.

 

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