In a Closed Economy, How Does National Saving Compare with Investment

question 125

Multiple Choice

In a closed economy, how does national saving compare with investment?

• A) National saving is usually greater than investment.
• B) National saving is equal to investment.
• C) National saving is usually less than investment because of the leakage of taxes.
• D) National saving is usually less than investment.

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Definitions:

Business Venture

An entrepreneurial enterprise or company initiated by an individual or a group of people to seek profit by providing products or services.

Executive Summary

A condensed version of a document, report, or proposal that highlights its main points, intended to give readers a quick overview of its content.

Intangibles

Non-physical assets such as intellectual property, brands, or goodwill that have value for an organization.

Joint Ventures

A strategic alliance where two or more parties come together to undertake a specific business project or activity while sharing risks and rewards.