The Circular Flow Diagram has dominated economic thought for over a century. Yet, all along we’ve known its shortcomings: over-aggregation, static capital, instantaneous production, and homogeneous ...

The circular-flow diagram’s greatest problem is, in fact, its circularity. While real-world economic analysis has a beginning, an ending, and ever-changing processes, the circular-flow diagram has no ...

Ultimately, it’s about closing the loop —shifting from a one-way flow to a circular flow diagram of the economy, where resources move in continuous, regenerative cycles. One of the most comprehensive ...

The new article, “The Circular Flow Model in Economics Explained,” aims to demystify one of the foundational concepts in macroeconomics: the Circular Flow Model. This model offers a simple yet ...

Leakage is an economic term that describes capital or income that escapes an economy or system in the context of a circular flow of income model. It results in a gap between supply and demand.

The objective of this project is to provide more detailed statistical information on the circular economy, in particular the Circular Material Use Rate (CMUR), as well as on compositional changes over ...

Statistics Netherlands (CBS) has developed a method to monitor one aspect – material flows in the Netherlands. The Material Flow Monitor database integrates existing statistical data to derive ...