The major factor that determines the volume of savings, corporate as well as individual, is the:
A) volume of spending
B) level of national income
C) amount of private pension plans
D) amount of life insurance policies

Question

Quizplus · Accepted Answer

The level of national income is the major factor that determines the volume of savings, as individuals and corporations tend to save a higher percentage of their income when their income is higher. The other options (spending, private pension plans, and life insurance policies) may play a role in individual or corporate savings decisions, but they are not the primary factor determining the overall volume of savings.

The Major Factor That Determines the Volume of Savings, Corporate