Monday, December 12, 2011

Save Your money from Today.

Save Your money from Today.

To get peace in your oldest time,Save money ,Keep fresh .


What is saving? :-

Saving is the difference between income and consumption.The savings of society is the grand total of the individual savings.Total saving of society depends on its income.As a result level of savings is different stage in economic development.So it can be said that  savings of a nation is induced by its national income.

Importance of savings :-

Savings has a great role to play in capital accumulation.In far-structural development and transformation of financial capital is created out of savings.The volume of capital increases with the increase in the level of savings and vice verse.

         The role of savings in industrial revolution is crucial .The reason why the citizen of an industrialized country enjoys a higher standard of living than his counterpart in a per-industrial country is that he produces more goods and services for each out of efforts,and one of the reasons Why he can do this is that he typically has the advantage of a larger stock of capital , to assist him in his productive activities.The community in which he lives possesses more mechanical equipment goods that are used to produce other goods .He can expect to enjoy a rising standard of living because he or some of his fellow citizens have formed the habit of selling aside from current consumption enough to add to the community's stock of producers goods.To say that a per-industrial country has a lower level of capital per unit of output than a more advanced economy .Indeed,because it has inadequate transport or credit or storage facilities ,for example or because it makes intermittent or unproductive use of its existing capital resources,it may be quite highly capitalized in relation to its output.

Achieving this increases in its capital stock and maintaining the increase involves a community in some quite radical charges in  its mode of economic behavior.The net effect of these changes has often been dramatized by expressing it as a sharp rise in the percentage of national income saved and invested annually.

most important thing to think

Role of savings in British Industrial Revolution :-

One factor whose development was crucial to the British industrial revolution was savings.There had been some increase in thrift since the industrial revolution had gathered momentum.Govt. had set out to encourage habits of working classes thrift since the 1970's when rose's Act of 1793 consolidated the law relating to friendly societies .By 1801,according to Eden's estimates ,there were over 7000 friendly clubs in England with a membership of 600.000 .The first true saving bank (as opposed to a friendly society or savings club which has an insurance or a temporary saving motive) was established in 1804.Gradually ,the movement spread and by 1817 there were 70 savings bank in operation in England .The movement gathered momentum in boom period of the early 1820's .By 1830 there were roughly 3,78000 depositors and volume of their savings had more than doubled.It is evident that working class personal savings of this kind was a good source to make a substantial contribution to the capital available for industrial and commercial purposes.

Country situation :-

Bangladesh is a capital hungry country.We are not achieving economic emancipation due to death of capital .We have become more dependent on foreign aid for our development activities which is not wise on the part of an independent nation as  it may  endanger our independence and sovereignty .So we should generate enough savings by maintainig austerity for the purpose of capital formation much needed to achieve economic emancipation.

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