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Households increase savings

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Reference no: EM13148328 , Length: 896 words

The Circular Flow diagram is model of how the economy works. Explain how the model would change if the following events ocurred:
Households increase savings.
Drastic spending cuts are implemented by the government.
The online textbook identifies three types of economic systems, which one closely resembles the U.S. economy. Explain and support your answer

Reference no: EM13148328

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