Saving in an economy is important for economic growth because

Question

Quizplus · Accepted Answer

Saving is important for economic growth because it provides the source of funds for investment. Investment is crucial for the expansion of businesses, the creation of new jobs, and the development of new technologies, all of which can lead to economic growth. Without savings, there would be a lack of funds available to finance investment, which could restrain economic growth. Options A, B, and C are incorrect because they focus on consumption, which is not directly related to economic growth.

Saving in an Economy Is Important for Economic Growth Because