13th Edition
Roger A. Arnold
ISBN: 9781337617406




13th Edition
Roger A. Arnold
ISBN: 9781337617406
Textbook Problem

It has been said that a society with a high savings rate is a society with a high standard of living. What is the link (if any) between saving and a relatively high standard of living?

To determine

Identify the link between the saving and the standard of living. 


In the loanable funds market, the total of all of the money is that people decide to save and lend out to borrowers as an investment rather than using it for personal consumption. Therefore, if the savings increase, the rate of interest will decrease...

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