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Savings are stock or flow variable?

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Savings are stock or flow variable?

    • Posted by Diksha Bangar 7 years, 5 months ago

    CBSE > Class 12 > Economics
    • 1 answers

    Amar Kumar 7 years, 5 months ago

    Saving is an economic variables which have time dimension, i.e., whose magnitude can be measured over a period of time are called flow variable.A flow shows change during a period of time whereas a stock indicates the quantity of a variable at a point of time. Thus, wealth is a stock since it can be measured at a point of time, but income and saving are flow because it can be measured over a period of time. Examples of stocks are: wealth, foreign debts, loan, inventories (not change in inventories), opening stock, money supply (amount of money), population, etc.

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