HSC Together Year 12 Economics: Injections and Withdrawals (I+G+X; S+T+M)

Economics

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Injections and Withdrawals (I+G+X; S+T+M)

Economic growth can also be considered through the injections and withdrawals model.

  • Injections are investment (I), government spending (G), and exports (X).
  • Withdrawals are savings (S), taxation (T) and imports (M)

The economy expands when injections are greater than withdrawals, while it contracts when withdrawals are greater than injections.

Watch the video to learn about injections and withdrawals in HSC Economics:

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