Which of the following statements is most correct?
A)Contractual savings include such things as accumulation of reserves in insurance and pension funds and deposits to time and savings accounts in commercial banks.
B)As savings increased in the United States, there was a change in our status from a creditor nation to a debtor nation.
C)In the U.S.economy, recessions can be avoided with the appropriate fiscal policy.
D)Corporate bonds and stocks are said to be indirect securities, while commercial bank time deposits would represent primary instruments in terms of the savings investment process.
E)none of the above

Question

Quizplus · Accepted Answer

None of the statements are entirely correct. For example, contractual savings typically refer to long-term savings like insurance and pension funds, but not necessarily time and savings accounts in commercial banks. The U.S. became a debtor nation due to trade deficits, not increased savings. Recessions cannot be entirely avoided by fiscal policy alone. Corporate bonds and stocks are direct securities, not indirect.

Which of the Following Statements Is Most Correct