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Question

Real flow is also known as ________________.

A
Nominal flow
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B
Physical flow
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C
Money flow
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D
both a and b
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Solution

The correct option is A Physical flow
Real flow is also known as physical flow. Real flow refers to the flow of goods and services across different sectors of the economy. Flow of factor services from household sector to the producer sector or flow of goods and services from producer sector to household sector are examples of real flows.

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