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SOLVED: What is the circular-flow diagram and what does it illustrate?A. The circular-flow diagram shows how households and firms are linked through product markets.B. The circular-flow diagram shows how households and firms are linked through product and factor marketsC. The circular-flow diagram shows the maximum attainable combinations of two products that may be produced with available resources and current technology.D. The circular-flow diagram shows the government's role in markets throug

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