The following table shows the planned changes to injections into and withdrawals from the circular flow of income for an economy over one year.
| £bn | |
|---|---|
| Exports | 24 |
| Government expenditure | 30 |
| Imports | 28 |
| Investment | 16 |
| Savings | 22 |
| Taxation | 35 |
Other things remaining the same, these changes would cause
national income to decrease.
the budget deficit to increase.
consumer expenditure to increase.
the balance of trade to move into surplus.
