Supply balance

The supply balance is a form of a balance sheet of a country's economy. The supply balance is a breakdown of how the gross domestic product and imported products are used in the country.

The supply balance consists of assets and how these assets is used. Assets in the supply balance is GDP and imports. The usage side in the supply balance consists of consumption, investment and exports. What is produced in a country can be used for investments, consumption and exports according to the supply balance.

GDP from the usage side can be illustrated by the following formula:

GDP = C + I + G + (X-M)

where
GDP = Gross Domestic Product
C = Consumption
I = Investment
G = Government spending
X = Exports
M = Imports