Saving

Description

Economics (AD & AS and their interaction) Mind Map on Saving, created by halima13 on 12/04/2013.
halima13
Mind Map by halima13, updated more than 1 year ago
halima13
Created by halima13 about 11 years ago
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Resource summary

Saving
  1. Real Disposable Income
    1. Households save a higher proportion of income
    2. Interest Rate
      1. Rise in IR increases reward for saving
        1. Target Savers would save less
        2. Confidence & Expectations
          1. Save more if uncertain about future
          2. Range of Banks
            1. If banks are trusted and established-easier to save and trust
              1. If banks become more developed, saving rates fall. People find it easier to borrow
              2. Government Policies
                1. Tax-free saving schemes-people save more
                  1. Raising pensions discourages saving
                  2. Age Structure of Population
                    1. Young people save less than middle age people
                      1. Some elderly disave-spend savings
                        1. Other elderly save to pay for future medical treatment
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