Question

what is injection and lekage in economics???

Answer 1

Leakages reduce the flow of income.Injection means introduction of income into the flow. When households and firms borrow the savings, they constitute injections.Injections increase the flow of income. Injections can take the forms of investment, government spending and exports.

Answer 2

Answer:

Injections into the 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.

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