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Circular flow, AD and AS

Edexcel 9EB0T2-5bA-levelLesson packSubscription
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  • 9 questions
  • 36 marks
  • about 50 minutes
  • marked instantly

Question types: multiple choice, short answer, fill the gap, matching, calculation.

About this resource

Edexcel Economics B (9EB0) Theme 2, Unit T2-5 (spec ref 2.5.2) — the circular flow of income between households and firms; injections (investment, government spending, exports) and withdrawals/leakages (savings, taxation, imports); the growth rule (injections > withdrawals = growth, and vice vers…

18 slides.

Lesson outline

  1. Do Now — Retrieval
  2. Hinge Check — Injection or Withdrawal?
  3. The Circular Flow of Income
  4. Injections, Withdrawals and the Growth Rule
  5. Hinge Check — The Growth Rule
  6. Guided Practice — Injection or Withdrawal?
  7. Aggregate Demand: AD = C + I + G + (X − M)
  8. Hinge Check — What's in AD?
  9. Aggregate Supply: Short-Run AS and Productive Capacity
  10. Hinge Check — AD or AS?
  11. Reading the AD/AS Diagram
  12. Guided Practice — Shift AD
Unit bundleTheme 2 · The wider economic environment
Part of: Theme 2 · The wider economic environment: the whole unitEvery resource in the unit in one zip.

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