relationship among saving, investment and consumption

relationship among saving investment and consumption, savings, investment and consumption are closely related. We save in order to accumulate capital for investment and for many other personal reasons on saving investment and consumption

Relationship between savings investment and consumption activities

There will be no investment, in turn, creates employment and income, we shall have nothing to save and nothing to spend on consumer goods and services.

What do we do not spend is what is saved. Consumption, therefore is affected by decisions to save just as saving is affected by decisions to spend. If we spend all our income, there will be no capital accumulation for investment. Therefore, the community’s income is made up of savings investment and consumption.

saving investment and consumption are related to income with the use of the following formulae:

Y = C + S

Y = C + 1

S = I

Where Y = income

C = Consumption expenditure

S = Savings

I = Investment expenditure

LIVER FLUKE
162. ECTO PARASITES
163. TICK
saving investment and consumption

1. loans for businesses
2. how to establish enterprises
3. what is a firm
4. price equilibrium
5. scale of preference
6. concept of economics
7. economic tools for nation building
8. budgeting
9. factors affecting the expansion of industries
10. mineral resources and the mining industries

103. THE CENTRAL NERVOUS SYSTEM

104. PERIPHERAL NERVOUS SYSTEM

105. THE REPRODUCTIVE SYSTEM MALE AND FEMALE REPRODUCTIVE SYSTEM

106. REPRODUCTIVE SYSTEM OF BIRDS

107. THE CIRCULATORY SYSTEM

108. THE PULMONARY CIRCULATION

Abiogenesis

110. THE RESPIRATORY SYSTEM

Table 22.1 shows the alternative open to South Africa to substitute the production of cattle for vehicle on a monthly basis, assuming a given state of technology and a given total or quantity of resources. There exist extreme cases of A and F, where respectively, no vehicles is produced at all in other to produce a maximum of200 cattle, and no cattle were produced at all in order to produce a maximum of 180 motor vehicles. If more motor vehicles are to be produced, more resources for the production of cattle have to be given up or forgone. For example, in order to produce 130 motor vehicles rather that 70, that is, more from C to D in Table 22.1,

(100 – 80) = 20 heads of cattle have to be given up or transferred.