Question

Good current economic conditions incent people to save _______, and a good outlook on future economic conditions incent people to save _________. Multiple Choice more; less more; more less; less less; more

Answer 1

Answer:

More; Less

Explanation:

If there is a good current economic condition, people tend to save more and consume less at the present moment, because they don't know what the future holds (whether good or ugly ). They would have to save for the rainy days.

On the flip side, if there is good outlook on future economic conditions, people tend to save less because there is a better expectation of the future and they would rather consume more at the present.