Suppose the U.S. government wants to encourage individuals to save more of their income. The easiest way for the government to realize this goal is to:

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Quizplus · Accepted Answer

Developing incentives, such as tax breaks on savings, would encourage individuals to save more of their income without infringing on their freedom of choice. It would also be less coercive than passing a law requiring people to save. Decreasing government spending would have a limited impact on individual savings decisions, and increasing the tax rate on savings would discourage savings, which is counterproductive to the goal of encouraging more savings.