Which of the following groups is the principal source of savings in an economy?
A) Banks
B) Government
C) Businesses
D) Households

Question

Quizplus · Accepted Answer

Households are the principal source of savings in an economy, as they save a portion of their income for future consumption or investment. Banks, government, and businesses also save, but their savings are a result of the savings of households or the profitability of their operations.

Which of the Following Groups Is the Principal Source of Savings