NATIONAL SAVING Meaning and
Definition
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National saving refers to the total amount of money that a country's population saves over a specific period. It represents the portion of income that individuals, businesses, and the government refrain from consuming or investing in the short term, instead setting it aside for future use. National saving is a measure of a nation's ability to accumulate capital and finance investment, which contributes to its economic growth and development.
National saving comprises two main components: private saving and public saving. Private saving includes the savings by households and businesses, while public saving constitutes the excess of government revenue over its expenditure. Private saving reflects the portion of income that individuals and businesses retain after their consumption needs are met, and could include savings accounts, investments, or assets such as real estate or stocks. Public saving, on the other hand, arises when the government generates a surplus through taxation and other forms of revenue, reducing the need for borrowing and easing the burden on future generations.
National saving is integral to a country's long-term economic stability and sustainability. It provides the resources necessary for investment in infrastructure, education, research and development, and other productive areas that enhance competitiveness and prosperity. A high level of national saving can help a country accumulate capital, stimulate entrepreneurial activity, and facilitate technological advancement, all of which contribute to increased productivity and higher standards of living. Conversely, low national saving may limit a country's ability to invest in its own future, leaving it reliant on foreign capital and thereby increasing vulnerabilities to economic shocks.
Common Misspellings for NATIONAL SAVING
- bational saving
- mational saving
- jational saving
- hational saving
- nztional saving
- nstional saving
- nwtional saving
- nqtional saving
- narional saving
- nafional saving
- nagional saving
- nayional saving
- na6ional saving
- na5ional saving
- natuonal saving
- natjonal saving
- natkonal saving
- natoonal saving
- nat9onal saving
- nat8onal saving
Etymology of NATIONAL SAVING
The origins of the word "national saving" can be traced back to the Middle English word "save", which comes from the Old French word "saver" meaning "to save, spare, rescue". The word "save" ultimately originated from the Latin word "salvus", meaning "safe, unharmed".
The term "national" refers to something related to or concerning a nation as a whole. It comes from the Latin word "natio", which means "birth, tribe, people".
The combination of "save" and "national" gives rise to "national saving", a term used to describe the act of preserving or safeguarding resources, capital, or money at a national level, often associated with financial policies adopted by a country or government.
