ECS1601 Assignment 3 Semester 1&
2 2021
, Stuvia.com - The study-notes marketplace
ECS1601
ASSIGNMENT 3 SEMESTER 1 2021
UNIQUE NUMBER: 789067
DISCLAIMER: Extreme care has been used to create this document, however the contents are provided “as is” without any
representations or warranties, express or implied. This document is to be used for comparison, research and reference
purposes ONLY. Directly submitting and/or reselling/ distribution / reproduction any part of this document is not permitted.
PREVIEW OF QUESTION 1
1. 3 Reference: Prescribed book PG 277
Although production, income and spending all occur simultaneously, it is useful to consider these
three flows in sequence, starting with production. Production creates income which is then used to
purchase the products that were produced in the first place. By definition, income is always equal to
production but there is no guarantee that all income will be spent. Spending may be equal to, greater
than or less than income.
.
Distribution of this document is illegal
2 2021
, Stuvia.com - The study-notes marketplace
ECS1601
ASSIGNMENT 3 SEMESTER 1 2021
UNIQUE NUMBER: 789067
DISCLAIMER: Extreme care has been used to create this document, however the contents are provided “as is” without any
representations or warranties, express or implied. This document is to be used for comparison, research and reference
purposes ONLY. Directly submitting and/or reselling/ distribution / reproduction any part of this document is not permitted.
PREVIEW OF QUESTION 1
1. 3 Reference: Prescribed book PG 277
Although production, income and spending all occur simultaneously, it is useful to consider these
three flows in sequence, starting with production. Production creates income which is then used to
purchase the products that were produced in the first place. By definition, income is always equal to
production but there is no guarantee that all income will be spent. Spending may be equal to, greater
than or less than income.
.
Distribution of this document is illegal
