The circular flow diagram illustrates the equivalence of the income approach and expenditures approach to calculating national income. In this diagram, goods, services, and resources move …

Practice what you have learned about the circular flow model and how gross domestic product (GDP) is calculated in this exercises.

A circular flow of goods and services result from factors of production and goods and services received. GDP can be measured as total expenditures, total income, or total revenue.

The circular flow model illustrates how a market economy works. In the model, households and firms engage in mutually beneficial exchanges of resources and products in the market.

The Circular Flow and GDP Learn Circular flow of income and expenditures Parsing gross domestic product

production possibilities frontier (PPF): a diagram that shows the productively efficient combinations of two products that an economy can produce given the resources it has available.

Use a diagram to analyze the relationship between aggregate expenditure and economic output in the Keynesian model.

Here is a question from the 2016 AP Macroeconomics Exam that uses the PPC. Try to solve it on your own, and then click on the solution to compare your work to the correct answer.

Expenditure approach to calculating GDP examples Examples of accounting for GDP Measuring the size of the economy: gross domestic product Lesson summary: The circular flow and GDP

在一个封闭的经济体系中，商品和服务在商品市场中进行交换，生产要素在要素市场中进行交换。在这个视频中，我们将探索如何通过循环流动模型来将这一模型直观地展现出来。 由 Sal …