Circuit Examples

Sample circuits to get you started

Economics & System Dynamics Models

CircuitJS1 includes specialized components for economic modeling using stock-flow analysis. These models demonstrate the application of system dynamics to monetary economics and accounting.

BOMD (Bank Originated Money and Debt) Model

A comprehensive model of bank lending and money creation in a simplified economy.

File: econ_BOMD.txt Load Model

Components:
- Banks Table (with Reserves, Debt to Savers/Borrowers, Equity)
- Borrowers Table (Borrowers Debt and Equity)
- Savers Table (Savings and Equity)
- Mathematical elements (Multipliers, Adders)
- Percent/Ratio meters for analysis

Key Features: - Three-sector economy: Banks, Borrowers, Savers - Lending dynamics with interest payments - Bank spending and money velocity - Accounting equation: Assets = Liabilities + Equity - Stock-flow consistency

Learning Objectives: - Understand endogenous money creation - Track money flows between sectors - Observe stock-flow accounting principles - Analyze interest rate effects on debt dynamics

Key Parameters: - Interest Rate: 5% (configurable) - Lending Fraction: 2% of GDP (configurable) - Velocity: 0.5 (money circulation speed) - Bank Spend Rate: 10% (how fast banks spend reserves) - Fee Rate: 0.5 (transaction fees)

BOMD Simple Model

A simplified version focusing on core banking operations.

File: econ_BOMDSimple.txt Load Model

Components:
- Banks Table (Loans, Deposits, Equity)
- Non-Bank Private Sector Table (Deposits, Loans, Equity)
- Differentiator for GDP calculation
- Divider for velocity computation

Simplified Focus: - Two-sector model: Banks and Private Sector - Direct lending relationship - GDP derived from money velocity (M×V) - Credit creation through bank loans

Key Concepts: - Bank credit creates deposits - Loans create deposits (not vice versa) - GDP = Money Supply × Velocity - Balance sheet symmetry between sectors

Use Cases: - Teaching basic banking operations - Understanding credit money creation - Observing GDP-debt relationships - Analyzing velocity effects

BOMD with Government

Extended model including government sector and central bank operations.

File: econ_BOMDwithGovt.txt

Load Model

Components:
- Banks Table (7 columns: Reserves, Debt, Gov Bonds, etc.)
- Borrowers Table (with tax and government spending flows)
- Savers Table (with tax and government spending flows)
- Treasury Table (Government bonds and equity)
- The Fed Table (Central bank reserves and operations)

Extended Features: - Five-sector economy: Banks, Borrowers, Savers, Treasury, Federal Reserve - Government spending and taxation - Bond issuance and interest payments - Central bank reserve management - Complete sectoral accounting

Government Operations: - Tax collection from all sectors - Government spending (distribution configurable) - Bond sales to finance deficits - Interest payments on bonds - Central bank monetary operations

Advanced Concepts: - Fiscal policy effects on private sector - Government deficit = Private sector surplus - Bond market operations - Reserve management by central bank - Sectoral financial balances

Policy Experiments: - Adjust tax rates and observe sector balances - Change government spending levels - Modify bond interest rates - Analyze deficit spending effects

How to Load These Models

From Circuit Files:
- Download from: src/com/lushprojects/circuitjs1/public/circuits/econ_*.txt
- Use File → Import in CircuitJS1
From Web Interface:
- Circuits > Ecomonics >
- Click on the desired file
- Circuit loads automatically
Experiment & Modify:
- Adjust interest rates and lending fractions
- Change spending and tax rates
- Add scope traces to monitor key variables
- Export modified circuits for sharing

Understanding the Economics Elements

These models use specialized CircuitJS1 components:

Table Elements: Represent balance sheets with Assets, Liabilities, Equity
Godly Tables: Include integration for stock accumulation over time
Multipliers/Dividers: Calculate derived variables (interest, fees, ratios)
Adders/Subtractors: Compute net flows between accounts
Percent Meters: Display ratios and rates
Stop Time: Halt simulation at specific time points

Educational Applications

Undergraduate Economics: - Money and banking fundamentals - Stock-flow consistent modeling - Sectoral accounting principles

Graduate/Research: - Modern Monetary Theory (MMT) concepts - Post-Keynesian economics - Endogenous money dynamics - Fiscal-monetary policy interactions

Policy Analysis: - Government deficit effects - Interest rate impacts - Credit cycle dynamics - Debt sustainability

Basic Circuits

--- title: "Circuit Examples" subtitle: "Sample circuits to get you started" toc: true --- ## Economics & System Dynamics Models CircuitJS1 includes specialized components for economic modeling using stock-flow analysis. These models demonstrate the application of system dynamics to monetary economics and accounting. ### BOMD (Bank Originated Money and Debt) Model A comprehensive model of bank lending and money creation in a simplified economy. **File:** `econ_BOMD.txt` **[Load Model](https://johnnewto.github.io/circuitjs1/circuitjs.html?startCircuit=econ_BOMD.txt)** ``` Components: - Banks Table (with Reserves, Debt to Savers/Borrowers, Equity) - Borrowers Table (Borrowers Debt and Equity) - Savers Table (Savings and Equity) - Mathematical elements (Multipliers, Adders) - Percent/Ratio meters for analysis ``` **Key Features:** - Three-sector economy: Banks, Borrowers, Savers - Lending dynamics with interest payments - Bank spending and money velocity - Accounting equation: Assets = Liabilities + Equity - Stock-flow consistency **Learning Objectives:** - Understand endogenous money creation - Track money flows between sectors - Observe stock-flow accounting principles - Analyze interest rate effects on debt dynamics **Key Parameters:** - Interest Rate: 5% (configurable) - Lending Fraction: 2% of GDP (configurable) - Velocity: 0.5 (money circulation speed) - Bank Spend Rate: 10% (how fast banks spend reserves) - Fee Rate: 0.5 (transaction fees) ### BOMD Simple Model A simplified version focusing on core banking operations. **File:** `econ_BOMDSimple.txt` **[Load Model](https://johnnewto.github.io/circuitjs1/circuitjs.html?startCircuit=econ_BOMDSimple.txt)** ``` Components: - Banks Table (Loans, Deposits, Equity) - Non-Bank Private Sector Table (Deposits, Loans, Equity) - Differentiator for GDP calculation - Divider for velocity computation ``` **Simplified Focus:** - Two-sector model: Banks and Private Sector - Direct lending relationship - GDP derived from money velocity (M×V) - Credit creation through bank loans **Key Concepts:** - Bank credit creates deposits - Loans create deposits (not vice versa) - GDP = Money Supply × Velocity - Balance sheet symmetry between sectors **Use Cases:** - Teaching basic banking operations - Understanding credit money creation - Observing GDP-debt relationships - Analyzing velocity effects ### BOMD with Government Extended model including government sector and central bank operations. **File:** `econ_BOMDwithGovt.txt` **[Load Model](https://johnnewto.github.io/circuitjs1/circuitjs.html?startCircuit=econ_BOMDwithGovt.txt)** ``` Components: - Banks Table (7 columns: Reserves, Debt, Gov Bonds, etc.) - Borrowers Table (with tax and government spending flows) - Savers Table (with tax and government spending flows) - Treasury Table (Government bonds and equity) - The Fed Table (Central bank reserves and operations) ``` **Extended Features:** - Five-sector economy: Banks, Borrowers, Savers, Treasury, Federal Reserve - Government spending and taxation - Bond issuance and interest payments - Central bank reserve management - Complete sectoral accounting **Government Operations:** - Tax collection from all sectors - Government spending (distribution configurable) - Bond sales to finance deficits - Interest payments on bonds - Central bank monetary operations **Advanced Concepts:** - Fiscal policy effects on private sector - Government deficit = Private sector surplus - Bond market operations - Reserve management by central bank - Sectoral financial balances **Policy Experiments:** - Adjust tax rates and observe sector balances - Change government spending levels - Modify bond interest rates - Analyze deficit spending effects ### How to Load These Models 1. **From Circuit Files:** - Download from: `src/com/lushprojects/circuitjs1/public/circuits/econ_*.txt` - Use File → Import in CircuitJS1 2. **From Web Interface:** - Circuits > Ecomonics > - Click on the desired file - Circuit loads automatically 3. **Experiment & Modify:** - Adjust interest rates and lending fractions - Change spending and tax rates - Add scope traces to monitor key variables - Export modified circuits for sharing ### Understanding the Economics Elements These models use specialized CircuitJS1 components: - **Table Elements**: Represent balance sheets with Assets, Liabilities, Equity - **Godly Tables**: Include integration for stock accumulation over time - **Multipliers/Dividers**: Calculate derived variables (interest, fees, ratios) - **Adders/Subtractors**: Compute net flows between accounts - **Percent Meters**: Display ratios and rates - **Stop Time**: Halt simulation at specific time points ### Educational Applications **Undergraduate Economics:** - Money and banking fundamentals - Stock-flow consistent modeling - Sectoral accounting principles **Graduate/Research:** - Modern Monetary Theory (MMT) concepts - Post-Keynesian economics - Endogenous money dynamics - Fiscal-monetary policy interactions **Policy Analysis:** - Government deficit effects - Interest rate impacts - Credit cycle dynamics - Debt sustainability --- ## Basic Circuits