ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -An investment is a plan to put money to work today in hopes of obtaining a greater amount of money in the future.

Detailed explanation-2: -A rise in aggregate savings would yield larger investments associated with higher GDP growth. As a result, the high rates of savings increase the amount of capital and lead to higher economic growth in the country.

Detailed explanation-3: -Saving in economics In economics, saving is defined as after tax income minus consumption. The fraction of income saved is called the average propensity to save, while the fraction of an increment to income that is saved is called the marginal propensity to save.

Detailed explanation-4: -Saving is the portion of income not spent on current expenditures. In other words, it is the money set aside for future use and not spent immediately.

Detailed explanation-5: -Savings refers to the part of the income which is not spent on the consumption of goods and services in the economy.