Problem: In the textbook, there are two circular flow diagrams: One that represents the flows in the macro-economy as a closed system and one that represents the flows as an open system. Review the diagrams and write a three to five page length paper that:
1) Defines and explains a closed system and provides an example.
2) Defines and explains an open system and provides an example.
3) Explains the inner and outer flows of a closed system.
4) Explains the inner and outer flows of an open system.
5) Defines and explains leakages in an open system.
6) Defines and explains injections in an open system.
7) Provides a personal example of a leakage, describes it and explains it.
8) Provides a personal example of an injection, describes it and explains it.