0
Injections include Export revenue, Investment and Government expenditure.
Withdrawals include Saving, Tax, Import expenditure.
All of it affects the component of Aggregate Demand hence affects the economic activity. For e.g. High savings would mean low consumption. This would cause some firms to make losses and leave the industry etc.
Add your answer:
Earn +20 pts
When withdrawals exceed injections national income will do what?
When planned withdrawals are more than planned injections, there is too little aggregate demand. I'm no economics expert so i don't know whether this would lead to a downward mutipler or a negative accelerator effect. Withdrawals are savings, taxes and imports and it seems to me that if savings increase, there would be a negative accelerator effect, but if imports increase, there would be a downward multiplier, but don't take my word for it.
How do government regulations effect economic behavior?
Effect of Government Regulations on Economic Behavior
What effect has embargo had since it's stablishment?
An embargo has the effect of prohibiting some activity, generally economic activity. The effect of an embargo is that goods and services are prevented from flowing across embargo lines even where there is a market for those goods. For example, there is an embargo preventing U.S. companies from exporting technology with military applications into terrorist-sponsoring countries. The effect is that businesses are prohibited from doing so. Similarly, there is a general trade embargo imposed by the U.S. on Cuba. As a result, goods from Cuba can not be imported into the U.S. The effect is that one can not legally sell Cuban cigars in America.
What was the economic effect of people keeping gold out of circulation?
inflation
Reason cause of economic drop down effect to business in cambodia?
reason economic dropdown in 2009 cambodia
When withdrawals exceed injections national income will do what?
When planned withdrawals are more than planned injections, there is too little aggregate demand. I'm no economics expert so i don't know whether this would lead to a downward mutipler or a negative accelerator effect. Withdrawals are savings, taxes and imports and it seems to me that if savings increase, there would be a negative accelerator effect, but if imports increase, there would be a downward multiplier, but don't take my word for it.
Will withdrawals from IRA effect ui?
Will withdrawals from IRA effect ui in Texas
What is a double financing?
It is providing for funding for the same economic activity twice. The borrower in effect is receiving funds for more than what he needs to finance an economic activity.
What is the trade feedback effect?
The trade feedback effect refers to the relationship between trade and economic growth where increased trade can lead to economic growth, which in turn creates further opportunities for trade. As countries engage in more trade, they can benefit from economies of scale, specialization, and increased competition, all of which can contribute to higher productivity and economic growth. This positive feedback loop can drive further trade expansion and economic development.
What factor do you think has had the greatest effect on the Canadian economy?
the industry factor because it refers to any area of economic activity
What effect would the administration of calcitonin injections have on an calcitonin-treated rat?
Calcitonin injections have no effect on vertebral bone density...it is anticipated when doing the experiment that there would be...but there is not. (Marieb)
What does multiplier effect mean?
The multiplier effect describes how an increase in some economic activity starts a chain reaction that generates more activity than the original increase. The multiplier effect demonstrates the impact that reserve requirements set by the Federal Reserve have on the U.S. money supply.
How can fiscal policy be used to stimulate Australia's economic activity?
fiscal policy can be used to stimulate economic activity by increasing spending. this is done by reducing taxes and increasing government spending to increase supply and demand which has a flow on effect for individual spending.
Which was not an economic effect of colonization?
Which of the following was not an economic effect of colonization? Global economic development
Is there any relationship between the Trickle Down Effect and the IMF policies?
Not really. "Trickle down effect" suggests that more economic activity tends to promote economic growth, helping everyone to prosper. The International Monetary Fund generally doesn't favor growth; that's why they always support higher taxes, which retards economic growth.
How do government regulations effect economic behavior?
Effect of Government Regulations on Economic Behavior
Why did my dog vomit after his injections?
It might be one of the side effects of the injections (nausea or vomiting). Check with the veterinarian who gave your dog the injections to see if this is a normal reaction, like a side effect, or something much more serious.
