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41. SAVING
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INCOME
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1.
Meaning
Saving is that part of income which is not spent on current
consumption.
2.
Formula
Savings = Income – consumption
(S = Y-C)
3.
Importance
Savings encourages investment
and capital formation in the economy.
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It is the amount earned or received by an
individual or a unit or a group during a given period of time.
Income
= Consumption + Savings (Y=C+S)
Income facilitates expenditure on
consumption and savings, if any
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SAVING INCOME
