Question

Mobilisation of savings is an important step in ______.

विकल्प

• Credit Creation

• Capital Formation

• Increasing demand

• Decreasing the cost of production

Answer 1

Mobilisation of savings is an important step in Capital formation.

Explanation:

Mobilisation of savings refers to collecting and channelling individual savings into productive investments. This is a crucial step in capital formation, where saved resources are used to create capital goods like machinery, buildings, and infrastructure that contribute to future production. By mobilizing savings, economies can fund investments that lead to growth and development.