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Circular flow of income

The circular flow of income or circular flow is a model of the economy in which the major exchanges are represented as flows of money, goods and services, etc. between economic agents. The flows of money and goods exchanged in a closed circuit correspond in value, but run in the opposite direction. The circular flow analysis is the basis of national…

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Overview

History

Types of models

Circular flow of income topics

Significance of the study of the circular flow of income

Circular flow diagram as a subsystem of the environment

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Map overview Semantic statistics

Circular flow of income

Nodes84
Edges83
Triples122
Avg. degree1.98
Density0.02381
Components1

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Circular flow of income

Top relations

related to Further reading · 55
Circular flow of income → Alabama, Alvin, An Essay, Auburn, Backhouse, Bogdan, Business, Business Students, Chantal Saucier, Chapter, Circular, Circular Flow, Circular Flow Diagram, Daraban, Diagrams, Economic Theory, Economic Thought, Economics, Education, Employment
related to Further developments · 17
Circular flow of income → An, Development, Economic Co-operation, Employment, Frank Knight, General Theory, Interest, John Maynard Keynes's, Keynes, Knight, Money, Organisation, Richard Stone, The, The Economic Organization, UN, United Nations
related to Leakages and injection · 10
Circular flow of income → As, Financial, Injection, Injections, Leakage, Leakages, The, They, This, When
related to Five-sector model · 8
Circular flow of income → Demanding, Five-sector, However, Money, Residuals, Technically, The, Thus
related to overview · 7
Circular flow of income → Businesses, In, National Income, NIPAs, Product Accounts, The, These
related to Significance of the study of the circular flow of income · 6
Circular flow of income → If, Injections, Measurement, National, The, Unending
related to Two-sector model · 4
Circular flow of income → In, Some, The, This
related to The state of equilibrium · 3
Circular flow of income → In, OR, This
is a · 1
Circular flow of income → concept for better understanding the economy as a whole and

Important terminology Word statistics

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Important terminology

income flow economy circular model sector households firms economic goods money government services leakages financial injections production capital quesnay flows

Entity relationships Subject–Predicate–Object triples

SubjectPredicateObjectConfidenceSrc
Circular flow of incomeis aconcept for better understanding the economy as a whole and0.90text
investment in capitalinstance ofThere are also other aspects of economic activity0.80text
laborinstance ofThe firms then spend all of this income on factors of production0.80text
capitalinstance ofThe firms then spend all of this income on factors of production0.80text
raw materialsinstance ofThe firms then spend all of this income on factors of production0.80text
Suncorp.In the government sectorThe leakage that the government sector provides is through the collection of revenue through taxesinstance ofAn example of a group in the finance sector includes banks such as Westpac or financial institutions0.80text
coatsinstance ofAnother example is China processing the wool into items0.80text
Australia importing the product by paying the Chinese exporterinstance ofAnother example is China processing the wool into items0.80text
savinginstance ofAs the income falls households will cut down on all leakages0.80text
they will also pay less in taxationinstance ofAs the income falls households will cut down on all leakages0.80text
with a lower income they will spend less on importsinstance ofAs the income falls households will cut down on all leakages0.80text
Suncorpinstance ofAn example of a group in the finance sector includes banks such as Westpac or financial institutions0.80text

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