Abstract
The purpose of this workshop is to show how income and financial transactions undertaken in a modern economy, divided into economic sectors according to type of activity or pattern of behavior, can be organized and summarized conveniently in a set of interrelated accounts. The usefulness of setting up a flow-of-funds system lies in the fact that it describes the financing of the various sectors of the economy and the categories of market instruments used in financial transactions. Such a system brings out explicitly the important macro-economic accounting identities that aid in the formulation of behavioral hypotheses; and it helps in the design and control of development plans, as well as in the design and checking of consistency of short-run financial programs.
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