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The Circular Flow Gr 8 IEB

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THE CIRCULAR FLOW
Shows the flow of money, goods and services in the economy - the relationship
between income and expenditure.

MAIN PARTICIPANTS IN THE ECONOMY
• The Government
• The households
• Firms /businesses
• Financial institutions
• The Foreign sector

EXAMPLE OF THE RELATIONSHIP BETWEEN PARTICIPANTS




http://www.economicsdiscussion.net/circular-flow/the-circular-flow-of-economic-activity/18159


LEAKAGES

-Savings (S)
-Taxation (T)
-Imports (M)



INJECTIONS

-Investments (I)
-Government
Spending (G)
-Exports (X)
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Written in
2019/2020
Type
INTERVIEW
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