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Which of the following is NOT a component of injections in the circular flow of income?

easy Q2 of 15
Economic Awareness - Sectors of Indian Economy
Which of the following is NOT a component of injections in the circular flow of income?
ASavings by households
BGovernment expenditure
CInvestment by firms
DExports
Step-by-Step Solution
  1. Step 1: Recall injections in circular flow

    Injections add money to the economy and include investment, government spending, and exports.
  2. Step 2: Analyze each option

    Savings by households withdraw money from the flow, so they are leakages, not injections.
  3. Final Answer:

    Savings by households → Option A
  4. Quick Check:

    Injections exclude = Savings ✅
Quick Trick: Injections = Investment + Government spending + Exports.
Common Mistakes:
MISTAKES
  • Mistaking savings as injection instead of leakage.
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