what is the difference between injections and leakages?

injections are inserted in the circular flow whereas leakages are taken out. for eg. money deposited in an account(injections) and money withdrawn(leakage)
  • 1
leakages reduce the flow of income whereas injections increase the flow of income
  • 6
Distinguished between leakage and injection
  • -3
Please find this answer

  • 5
Differentiate b/w leakage and injuction
  • 2
Difference between leakage &injection
  • 3
Injection into economy include investment, government purchases and exports while leakages include savings, taxes and imports. Government taxes leak out of the circular flow model and then government spending injects them back into the economy. Leakages reduce the flow of income while Injection increase the flow of income.
  • 1
Here is the answer??????

  • 0
A leakage means the withdrawal of a part of income (money) from the circular flow of income. For instance, savings and taxes by households, and firms, as well as import payments, are forms of leakage. Injections are the addition of money to the circular flow of income, e.g., investments, government expenditure, export payments.
  • 1
What are you looking for?