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Macroeconomic theories - class-XII
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Two-sector economy consists of _______________.
AnswerClick to flip back
A
Households, firms
💡 Explanation:
Two sector economy consists of:
a) Household sector: It includes consumers of goods and services. Households are also the owners of the factors of production.
b)
Producer sector: It includes all producing units in the economy. For
the production of goods and services, the firms purchase factors of
production.