Which of the following is a savings surplus unit?
A)businesses
B)government
C)individuals
D)none of the above

Question

Quizplus · Accepted Answer

Savings surplus units are entities that have more income than they spend and therefore they save their surplus income. In this case, individuals are the most common example of a savings surplus unit as they have the ability to save their income. Businesses and government may save but they also have to spend a significant portion of their income on business operations and public goods, respectively. Hence, the correct answer is C) individuals.

Which of the Following Is a Savings Surplus Unit