Example collocations logo

Saving in sentence

1808 examples of Saving in a sentence

That dynamic unmasks the Achilles’ heel of Trumponomics: a blatant protectionist bias that collides head-on with America’s inescapable reliance on foreign saving and trade deficits to sustain economic growth.
The so-called net national saving rate – the depreciation-adjusted sum of business, household, and government saving – stood at just 2.4% of national income in mid-2016.
While that’s an improvement from the unprecedented negative saving position in 2008-2011, it remains far short of the 6.3% average that prevailed over the final three decades of the twentieth century.
Lacking in saving and wanting to grow, the United States must import surplus saving from abroad.
The numbers bear this out: since 2000, when national saving fell well below trend, the current-account deficit has widened to an average of 3.8% of GDP – nearly four times the 1% gap from 1970 to 1999.
It fixates on country-specific sources of the trade deficit, like China and Mexico, but misses the fundamental point that these bilateral deficits are symptoms of America’s far deeper saving problem.
Without addressing America’s chronic saving shortage, the Chinese and Mexican components of the trade deficit would simply be redistributed to other countries – most likely to higher-cost producers.
The US had trade deficits with 101 countries in 2015 – a multilateral problem stemming from a saving shortfall that cannot be effectively addressed through country-specific “remedies.”
But it does mean that there is limited hope for resolving seemingly chronic trade deficits – and the related erosion of domestic hiring traceable to these imbalances – if the US doesn’t start saving again.
Trumponomics seems likely to exacerbate America’s saving shortfall in the years ahead.
Yet, as stressed above, barring a miraculous surge in national saving, this is highly dubious.
Getting tough on trade at a time when national saving is about to come under ever-greater pressure simply doesn’t add up.
Even the most conservative estimates of the federal budget deficit suggest that the already-depressed net national saving rate could re-enter negative territory at some point in the 2018-2019 period.
Ironically, in the coming era of negative saving, the US will find itself increasingly dependent on surplus saving from abroad.
Protectionism, anemic saving, and deficit spending make for an especially toxic cocktail.
In other words, Europe’s central-banking system, composed of the ECB and national central banks, is saving itself, and Cypriot savers and European taxpayers are footing the bill.
Studies show that when life expectancy is low, so too are many kinds of investments in the future, such as school attendance, personal saving by households, and foreign investments.
He wants the FHA shut down and replaced with a subsidized saving program that does not attempt to compete with the private sector in evaluating mortgage risk.
Even more significant, shifting income from state-owned enterprises to middle-class workers and increasing consumer spending will reduce China’s enormous saving rate.
Since a country’s current-account surplus is the difference between its national saving and its national investment, China’s current-account surplus is likely to continue to shrink in the coming years.
Since China’s external surplus is already down to less than 2% of GDP, a decline in domestic saving could result in China beginning to run a current-account deficit.
The purpose of the gifts is to “encourage parents and children to develop the saving habit and engage with financial institutions.”
There is also a related risk that private accounts would cause a further drop in the personal saving rate.
The saving rate is the lifeblood of any economy, because foreigners cannot be expected to finance capital investment forever.
But all the talk of wondrous returns could spur what psychologists call “wishful thinking bias,” leading people to believe that their personal accounts will be so valuable in the future that outside saving is unnecessary.
Adaptation would also mean saving many lives from catastrophes not related to global warming.
Expecting that taxes would have to rise to “pay for” the extra spending, households and companies would increase their saving.
In 1965, the US national saving rate and net domestic investment rate were 15.7% and 14%, respectively.
Last year, the national saving rate was 0.1% and the investment rate was 4.4%.
So the US is now saving nothing and investing next to nothing.
BackNext