A. banks, schools and hospitals B. workers, producers and marketers C. households, firms and the government D. producers, retailers and wholesalers
Correct Answer: C
Explanation
The three-sector economy involves three sectors namely, households, business, and government. The addition of the government in an economy results in bringing two variables in an economy. These variables are government expenditure (act as injections to income) and taxation (act as leakage or withdrawals from income).
