6686620
Description
Mind Map by Bhuvan Pasyavula, updated more than 1 year ago
|
Created by Bhuvan Pasyavula
about 8 years ago
|
|
Macro Notes Mind Map
- Circular Flow of Income:
- Closed Economy:
- No government, No savings,
No international trade
- Agents:
- Firms, Households
- Firms, Households
- No government, No savings,
No international trade
- Open Economy
- Has a government, Has savings, Has
international trade, Has injections and leakages.
- Has a government, Has savings, Has
international trade, Has injections and leakages.
- Closed Economy:
- Factors of Production.
- Labour, Capital, Land, entrepreneurs.
- Labour, Capital, Land, entrepreneurs.
- Economic cycle:
- Boom, Downturn, Recession, Recovery.
- recession is when the GDP falls in two consecutive quarters.
- recession is when the GDP falls in two consecutive quarters.
- Boom, Downturn, Recession, Recovery.
- Inflation
- Demand Pull inflation
- Aggregate demand is greater than aggregate supply.
- Aggregate demand is greater than aggregate supply.
- Cost push inflation
- COP increases and firms pass this increase to consumers.
- COP increases and firms pass this increase to consumers.
- General and sustained increase in price level.
- Demand Pull inflation
- Injections
- Exports, Gov spending, Investments.
- Exports, Gov spending, Investments.
- Leakages
- Imports, Tax, Savings.
- Imports, Tax, Savings.
- Unemployment
- Number of unemployed people actively seeking a job.
- Number of unemployed people actively seeking a job.
- National income
- Real Value
- Takes into account inflation
- Takes into account inflation
- Nominal value
- Does not take into account inflation.
- Does not take into account inflation.
- Real Value
- Aggregate demand.
- AD= C+I+G+(X-M)
- AD= C+I+G+(X-M)
Media attachments
Want to create your own Mind Maps for free with GoConqr? Learn more.