Question

How do personal savings contribute to the economy

Answer 1

The money an individual person sets aside in savings accounts, retirement plans,and other forms of saving is important to the economy because it contributes to the nation’s overall economic growth.

Answer 2

They increase the amount of money banks can invest in stocks and bonds.

They increase the amount of money banks can loan to individuals and businesses.

They allow consumers to invest in different areas of the economy.

They allow consumers to get advice from banks on how to keep track of their money.