The Greater a Household's ________ the Less Is Its Saving

question 221

Multiple Choice

The greater a household's ________ the less is its saving.

• A) return from saving
• B) wealth
• C) disposable income
• D) expected future profits

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Definitions:

Bonds

Debt securities issued by corporations or governments to raise funds, promising to repay the borrowed amount plus interest to bondholders.

Convertible Bonds

Bonds that permit bondholders to convert them into common stock at the bondholders’ option.

Common Stock

A type of equity security that represents ownership in a corporation, giving holders voting rights and a share in the company's profits through dividends.

Premium

An amount paid in addition to a standard price or rate, often for insurance or an enhanced level of service or coverage.