Current account. In an open economy, manufactured products or GDP (Y) are sold domestically and partially exported. The amount of expenses is divided into consumption (C), investment (I) and government spending (G).Since part of the product is exported, its value must also be taken into account and added upon accrual. On the other hand, the […]
Tag: Flow
Secondary income distribution account
The secondary income distribution account shows how the balance of the primary income of an economy, institutional unit or sector is transformed into their disposable income through the receipt and payment of current transfers, excluding social transfers in kind. The purpose of the account is to reflect the maximum amount that a sector or the […]
Simplex method for solving optimization problems of linear programming
The simplex method is a computational procedure based on the principle of sequential improvement of solutions during the transition from one base point (basic solution) to another. This improves the value of the objective function. The basic solution is one of the valid solutions that are at the vertices of the realm of valid values. […]