Özgür Bayram SOYLU
PhD, Ankara,Turkey
​​DOI: https://doi.org/10.31410/EMAN.2018.171

2nd International Scientific Conference – EMAN 2018 – Economics and Management: How to Cope With Disrupted Times, Ljubljana – Slovenia, March 22, 2018, CONFERENCE PROCEEDINGS published by: Association of Economists and Managers of the Balkans, Belgrade, Serbia; Faculty of Management Koper, Slovenia; Doba Business School – Maribor, Slovenia; Integrated Business Faculty – Skopje, Macedonia; Faculty of Management – Zajecar, Serbia, ISBN 978-86-80194-11-0


The main purpose of this study is to explain the components of the stock flow consistent approach under certain assumptions. The stock flow consistent approach is a macroeconomic model based on national income and production accounts and flow of funds accounts. In addition, the stock flow consistent approach allows for integration of the real and financial sectors of the economy. Under the assumption of an open economy, the household sector, the firm sector, the banking sector, the government sector and the rest of world sector are included. The components of stock flow consistent approach are balance sheet, transaction flow matrix and behavioral equations. These components reflect the behavioral dynamics of economic decision-making units. Finally, there is a simulation application in the study.

Key words

Balance sheet, Transaction flow matrix, Behavioral equations, Simulation


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