Answer :
Answer:
C. The determination of product and resource prices is not explained
Explanation:
Circular Flow of Income is flow of payments & receipts for - goods, services & factor services between different sectors of economy (firms & households).
Households provide factors of productions to firms, firms pay them factor incomes in return.
Firms provide goods & services to households, households pay them prices as consumption expenditure (from factor incomes earned) in return.
So: Both product & resource markets, both households & businesses are included.
The limitation is that : It doesn't state anything about prices in product market & resource markets.