Economic agents are any individuals, institutions or groups of institutions that play a part in any economic circuit through their rational actions and decisions. Although they have different roles in the economic, production, investment or consumption circuit, they establish essential economic relationships with each other:

  • State
    Makes consumption, investment and economic policy decisions;
  • Households
    Make decisions on consumption of goods and services and on savings, depending on their income;
  • Companies
    Make investment, production and employment decisions.

 

These three agents and financial institutions are part of a closed economy. However, it is increasingly necessary to consider a fourth agent - outside regions with which the other economic agents do considerable business in an open economy.