Question

According to the circular-flow model, with is most directly provided by producers?

Answer 1

The correct answer is wages.

The circular-flow model is an economic model which explains the main exchanges among economic agents by means of flows such as flows of money,services,etc.

The main idea behind this model is that individuals are in charge of the labor which later helps business to produce services and goods.At the same time, business will grant wages for the individuals as compensation for their labor and this will again be spent on other good and services.