The most important savings surplus unit in the economy is:
A) the savings of individuals
B) corporate savings
C) U.S. government savings
D) state and local government savings

Question

Quizplus · Accepted Answer

In a typical economy, the savings of individuals are the most important savings surplus unit. This is because individuals are the largest contributors to savings in the economy. Corporate savings can also be significant, but it depends on the level of profitability and investment decisions made by companies. U.S. government savings and state/local government savings are not considered savings surplus units as they typically run budget deficits and borrow funds to meet their spending obligations.

The Most Important Savings Surplus Unit in the Economy Is