How leakage and injection helps in national development?
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Heya....
@ Leakage.....
Leakages from the economy refers to the personal savings of the individual in place of bank savings or use in the transition..
They help in economy only in case of economic recession when people's purchasing power goes down..
But for current economy they reduce the demand and supply of money in economy which is not good....
@ Injections....
Injection in economy refers to the banking investments or other terms of expenditures made by people..
These are totally benifit for economy because....these continues the purchasing power and supply of money in economy for the outcomes...
@ Leakage.....
Leakages from the economy refers to the personal savings of the individual in place of bank savings or use in the transition..
They help in economy only in case of economic recession when people's purchasing power goes down..
But for current economy they reduce the demand and supply of money in economy which is not good....
@ Injections....
Injection in economy refers to the banking investments or other terms of expenditures made by people..
These are totally benifit for economy because....these continues the purchasing power and supply of money in economy for the outcomes...
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What Is Leakage?
What Is Leakage?In economics, leakage refers to capital or income that diverges from some kind of iterative system.
What Is Leakage?In economics, leakage refers to capital or income that diverges from some kind of iterative system.Leakage is usually used in relation to a particular depiction of the flow of income within a system, referred to as the circular flow of income and expenditure, in the Keynesian model of economics. Within this depiction, leakages are the non-consumption uses of income, including saving, taxes, and imports.
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