In national income accounting, aggregate saving in any year is defined as?

  • A all disposable income not spent on consumption
  • B all savings deposits in all banks during the year
  • C all savings and time deposits in all banks during the year
  • D the value of inventory change for the year
jamb 1992economics

The correct answer is A. all disposable income not spent on consumption

In national income accounting, aggregate saving in any year is defined as the part of disposable income that is not spent on consumption.

It represents the income left over after all personal expenses and taxes have been paid, which can be used for investment or added to savings.

Previous question Next question