What is the circular flow of goods and services

The circular flow model demonstrates how money moves from producers to households and back again in an endless loop. In an economy, money moves from producers to workers as wages and then back from workers to producers as workers spend money on products and services.

gold discovery in california, and pioneer settlers were sometimes pulled west because they wanted to make a better living. others received letters from friends or family members who had moved west. these letters often told about a good life on the frontier. the biggest factor that pulled pioneers west was the opportunity to buy land.

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