The ARACE Framework

One structure for writing analysis of any economic diagram. Tap each letter to learn the step β€” then see it worked through two real examples.

πŸ”Ž See ARACE in action

Example 1 β€” Demand
Example 2 β€” Supply

Remember: ARACE is the universal skeleton β€” only the determinant set changes between models. Directional language always tells us HOW the determinant changes.