What will be the effect on national income if injection is greater than leakage
If injections (such as government spending, investments, and exports) are greater than leakages (such as savings, taxes, and imports), it will result in an increase in national income. This is because the extra injections into the economy will lead to increased economic activity, growth in output and employment, and ultimately higher income levels for individuals and businesses.
This can lead to a multiplier effect, where the initial increase in injections leads to further rounds of spending as income and demand for goods and services increase. Overall, a situation where injections are greater than leakages can contribute to economic expansion and growth.