44.8k views
5 votes
Business activty does not increase when available money is used to

1 Answer

3 votes

Answer:

A. save in a bank

B. obtain a loan

C. keep in a house

D. invest in a business

When you keep your money in a house (which you probably shouldn't do, also) it is not adding to the economy. We know that total income = total spending, but if you hoard all your money, or if you commit a crime like burning it, it can't go back into the economy and increase business activity.

User Wis
by
5.2k points