In the U.S., the amount in savings contributed to IRAs rose from $239 billion in 1992 to $3,667 billion by 2005, while overall savings actually dropped from low to lower. Evidence suggests that, in the economy as a whole, increased savings in these retirement accounts:

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14-03-2020
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In the U.S., the amount in savings contributed to IRAs rose from $239 billion in 1992 to $3,667 billion by 2005, while overall savings actually dropped from low to lower. Evidence suggests that, in the economy as a whole, increased savings in these retirement accounts:

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OPTIONS:

A. The results of personal preferences and intertemporal budget constraints.

B. Are the negative results of change in wage levels and a higher work effort.

C. Are being off set by negative savings or less savings in other types of accounts.

D. Are the results of higher interest rate and preferences about present consumption.

Answer:C. Are being off set by negative savings or less savings in other types of accounts.

Explanation:IRAs(INDIVIDUAL RETIREMENT ACCOUNTS) are special accounts aimed at ensuring that Employees of Government agencies, corporations and other private organisations save money in accounts with special tax benefits in order to ensure a better and happy retirement.

THE CONTINUOUS INCREASE IN THE INDIVIDUAL SAVINGS ACCOUNTS CAN BE ATTRIBUTED TO IT BEING OFF SET BY THE NEGATIVE OR LESS SAVINGS FROM OTHER TYPES OF SAVINGS ACCOUNTS.