The Concept of "National Saving" Refers to the

question 24

Multiple Choice

The concept of "national saving" refers to the

• A)difference between private saving and government saving.
• B)sum of private saving and government saving.
• C)money supply measure,M3.
• D)difference between the two measurements of the money supply,M3 - M2.
• E)total saving of the private sector.

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Definitions:

Fixed Costs

Costs that do not change with the amount of goods or services produced, such as rent, salaries, and insurance premiums.

Depreciation

An accounting method of allocating the cost of a tangible asset over its useful life.

Sales Price

The total cost that a consumer incurs to buy a product or service from a merchant.

Fixed Costs

Expenses that do not change with variations in the level of output or sales, such as rent, salaries, and insurance.