explain this picture National savings sate PETER G PETERSON FOUNDATION since the
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explain this picture
National savings sate
PETER G PETERSON FOUNDATION since the mid-1960s The U.S. national saving rate has declined significantly NET NATIONAL SAVING (% OF GNI) 20% 15% 10% 5% 0% 1 2.1 Great Depression 5% 7.3 -10% 1930 1940 1950 1960 1970 1980 1990 2000 2010 SOURCE: Bureau of Economic Analysis, National Income and Product Accounts Tables, January 2016. Compiled by PGPF NOTE: The net national saving rate includes both public and private saving, net of depreciation. GNI is gross national income. © 2016 Peter G. Peterson Foundation PGPF.ORGExplanation / Answer
The pricture showing the trend in national saving rate from the period of 1930 to 2010. in 1930, the national saving rate is in negative because of the great depression . people lost their job, and so thereyby the people income decrease but the consumption still on, therefore, the saving rate is in negative. but since after the great depression, from around 1940 , the national saving rate increases as the economy starts growing, poeple income increase and saving also increases . In 1940, the national saving rate is at higher to about 16% . from then national saving rate is on fluctuating . in 1945 the national saving rate is decrease to much lower rate to about 4% . then after that is gradually increasing . from the period of 1950 to 1970, the national saving rate is around between to 7% to 13%. the national saving rate in fluctuating . but after the period of 1980 , the national saving rate decreased again and it baout 2.5% in 1995. then after that period its does not increased to the level at which it was about in the period of 1950 to 1970 . In the great recession of 2007-2009, the national saving rate goes to negative to about -2.1%. its is period of where people have no income and consumtion still running. but the overall at the glance, the national saving rate has been declined after the 1970 . since then it was never too much high, it was not negative but not that high also .
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