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Below is a circular-flow diagram for the economy ofMicronia. Government purchases of goods and services SISO Taxes - stoo Consumer S510 Markets for goods and

Below is a circular-flow diagram for the economy ofMicronia.

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Government purchases of goods and services SISO Taxes - stoo Consumer S510 Markets for goods and services domest ic crodutt I nv es tment SIIO Government borrowing S60 Governnnt transfers S 10 Private savings S200 Wages. profit. interest. rent - S800 Factor Wages. profit. and rent - S800 stock issues by firms - s: 10 borrowing and sales of stock SIBO Foreign Lending and purchases of stock Fina ncial Firms Exports Imports - 550 Rest Of world - Szo

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