Uploaded on 2019-08-01 by edX Student
The three things here that demonstrate stocks and flows are money (foreign exchange - Western Union sign), people, and fuel (gasoline in truck and motorbikes). An example of the flow of money is when people with foreign money such as US$ would go to Western Union to have these exchanged into Indonesian Rupiah, or vice versa. The stock of money would be the amount in the Western Union branch at a certain point in time, or the US$ or IDR held by people. People going into the city for work and going home after is another example of flows. It is a stock (or density) during office hours when they are working inside their offices. Last, fuel is stored (stock) inside the fuel tanks of motorbikes and trucks. It is an inflow when these machines refuel at the gasoline stations, and an outflow when the engines are turned on. Money coming into the city can be used for investments or to create businesses, which provide employment and income. In a way, it enables people to improve their quality of life.