Government saving is equal to

Question

Quizplus · Accepted Answer

Government saving is defined as net taxes minus government expenditures. This represents the amount of funds that the government has left over after it has collected taxes and paid its expenses. Option A is incorrect because it includes government expenditures in the calculation, which is subtracted from net taxes to find government saving. Option B is incorrect because it only considers taxes and not government expenditures. Option C is incorrect because it refers to the quantity of investment demanded, which is not the same as government savings. Option E is incorrect because it subtracts government expenditures from private savings instead of net taxes.

Government Saving Is Equal to