In Which of the Following Ways Can National Savings Be

question 75

Multiple Choice

In which of the following ways can national savings be calculated?

• A) By deducting investment and government expenditure from total output
• B) By deducting net exports and government expenditure from total output
• C) By deducting consumption and government expenditure from total output
• D) By deducting consumption and investment from total output

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Definitions:

Crude Quantity Theory

A basic economic theory suggesting that the amount of money in supply directly affects the price level and inflation in an economy.

Sophisticated Quantity Theory

An advanced approach to Quantity Theory of Money, considering complex factors influencing money supply and demand.

Deflation

A decline in the price level for at least two years.

Keynesians

Economists and thinkers following the theories of John Maynard Keynes, who advocate for active government intervention in the economy to manage demand and avoid economic recessions.