A general model of an aggregate economy that gives an overview of the main sectors of the economy and shows the flows of income and output between them is

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The circular flow diagram is a general model of an aggregate economy that shows the main sectors of the economy and how they are interconnected through flows of income and output. It illustrates the interactions between households, firms, and government as they engage in buying and selling goods and services, producing and consuming goods and services, and generating income and employment. Thus, the circular flow diagram gives an overview of the entire economy, from production to consumption, and provides a framework for analyzing economic activity and policy.

A General Model of an Aggregate Economy That Gives an Overview