According to your text, the principal determinant of the volume of saving by households (i.e., individuals and families) is:
A) The level of interest rates
B) Desired savings target of each household
C) Tastes and preferences of consumers
D) Level of household income
E) Stage of the business cycle

Question

Quizplus · Accepted Answer

The principal determinant of the volume of saving by households is the level of household income. Generally, as household income increases, the ability and likelihood to save also increase.

According to Your Text, the Principal Determinant of the Volume