Producers provide public goods in the free-market system's circular flow. Option C is correct.
What is public goods?
A public good is defined as a commodity or service that is rendered to all members present in the society. These services are typically managed by governments and funded collectively through taxation.
Law enforcement, national defense, and the rule of law are instances of public goods. In the free-market system's circular flow, producers provide these goods.
Therefore, option C is correct.
To learn more about the free-market system, refer to:
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