Given Table 12-6 below, fill in the values for saving. Assume taxes = $800. Table 12-6

National Income
$11,400
11,800
12,200
12,600
Consumption
$7,500
7,800
8,100
8,400

What are the savings .

Savings = National Income  -  Consumption - Taxes

Explanation:

Savings are the part of income that is not spent or paid in taxes. So it can be calculated by subtraction consumption from the national income.

National Income (Y) = C+ T + S

Therefore,

S= Y - C - T

That is the part of income that is not spent or paid in taxes is called savings.

National Income   Consumption  Taxes    Savings

$11,400                        $7,500           $800    $3,100

$11,800                        $7,800           $800    $3,200

$12,200                       $8,100            $800    $3,300

$12,600                       $8,400           $800    $3,400

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