Answer to Question #284900 in Economics for Bea

Question

Define the following concepts: 5.1. Flow variable 5.2. Stock variable 5.3. Household 5.4. Firm 5.5. Transfer payments 5.6. Balance of payments

Answer 1

5.1.A flow variable refers to a value within a context.

5.2.A stock variable is a quantified variable that is measured at a particular point of time.

5.3.Household is a person or a group of people living in the same residence.

5.4.Firm is any company that seeks to make a profit by manufacturing or selling products or services – or both – to consumers.

5.5.Transfer payments are one-way payments to a person or organization which has given or exchanged no goods or services for it.

5.6.Balance of payments is an accounting of a country's international transactions for a particular time period.