CA Foundation Exam > CA Foundation Questions > Which of the following statements is true?a)A...
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Which of the following statements is true?
- a)Accumulation of capital depends solely on income.
- b)Savings can also be affected by the State.
- c)External economies go with size and internal economies with location.
- d)The supply curve of labour is an upward slopping curve.
Correct answer is option 'B'. Can you explain this answer?
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Most Upvoted Answer
Which of the following statements is true?a)Accumulation of capital de...
Explanation:
Savings can also be affected by the State
The statement "Savings can also be affected by the State" is true. The State can influence savings through various policies and measures, such as tax incentives, interest rates, and social security programs. For example, tax incentives can encourage individuals and businesses to save more by reducing their tax burden. Similarly, low-interest rates can make borrowing cheaper, which can encourage people to spend more and save less. On the other hand, social security programs can provide a safety net for individuals, which can reduce the need for them to save for emergencies or retirement.
Conclusion
In summary, the statement "Savings can also be affected by the State" is true, as the State can influence savings through various policies and measures.
Savings can also be affected by the State
The statement "Savings can also be affected by the State" is true. The State can influence savings through various policies and measures, such as tax incentives, interest rates, and social security programs. For example, tax incentives can encourage individuals and businesses to save more by reducing their tax burden. Similarly, low-interest rates can make borrowing cheaper, which can encourage people to spend more and save less. On the other hand, social security programs can provide a safety net for individuals, which can reduce the need for them to save for emergencies or retirement.
Conclusion
In summary, the statement "Savings can also be affected by the State" is true, as the State can influence savings through various policies and measures.
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Community Answer
Which of the following statements is true?a)Accumulation of capital de...
The answer is (B) Savings can also be affected by the state
State can affect the amount of savings in an economy by providing more savings opportunities to the citizens and offering higher interest rates citizens are manipulated to save more.
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Which of the following statements is true?a)Accumulation of capital depends solely on income.b)Savings can also be affected by the State.c)External economies go with size and internal economies with location.d)The supply curve of labour is an upward slopping curve.Correct answer is option 'B'. Can you explain this answer?
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