In a closed economy, what is public saving?
A) the amount of income that households have left after paying for taxes and consumption
B) the amount of income that businesses have left after paying for the factors of production
C) the amount of tax revenue that the government has left after paying for its spending
D) the amount of total income minus total expenditure

Question

Quizplus · Accepted Answer

Public saving in a closed economy is the amount of tax revenue that the government has left after paying for its spending. It is essentially the amount of money left over from government revenue once all government spending has been taken care of.

In a Closed Economy, What Is Public Saving