The Uses-Of-Saving Identity Shows That If the Government Budget Deficit

question 22

Multiple Choice

The uses-of-saving identity shows that if the government budget deficit rises, then one of the following must happen:

• A) private saving must rise, investment must fall, and/or the current account must fall.
• B) private saving must rise, investment must fall, and/or the current account must rise.
• C) private saving must rise, investment must rise, and/or the current account must fall.
• D) private saving must rise, investment must rise, and/or the current account must rise.

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Definitions:

Motivated

The internal drive or condition that prompts an individual to act or behave in a particular way towards achieving certain goals or fulfilling needs.

Fringe Benefits

Additional benefits supplementing an employee's salary, such as medical insurance, paid vacation, and retirement plans.

Financial Incentives

Monetary rewards designed to motivate individuals or groups to perform certain actions or achieve targets.

Self-Motivated

The quality of being driven to do or achieve something because of one's own enthusiasm or interest, without needing pressure from others.