Malaysians are at their worst financial position in 2022 compared with the last five years, and the looming recession may push them to the brink with dwindling savings coupled with the aftermath of the Covid-19 pandemic. A recent survey by Malaysian financial services website RinggitPlus revealed that 70 per cent of Malaysians saved less than RM500 per month (S$153) in 2022 or did not save at all. “This is compared with 52 per cent of Malaysians saving less than RM500 monthly in 2021, the largest year-on-year increase since 2018,” the RinggitPlus Malaysian Financial Literacy Survey 2022 showed....Mr Patrick Tay, deals partner, economics and policy at Malaysia PwC, is not surprised by the decline in savings in 2022. “One reason for the depleted savings is low wages and higher inflation. But another key reason is that Malaysians are spending more post-pandemic on holidays or other leisure expenses because some may feel that they saved during the pandemic, and it is fine to now spend this year rather than save,” he told The Straits Times... Please choose the correct answers: a) Given the above extract, this is represented as a right shift / left shift / upward movement / downward movement of the supply of savings in Malaysia’s financial market. b) Given the above extract, this is represented as a right shift / left shift / upward movement / downward movement of the demand for investment in Malaysia’s financial market. c) Given the above extract, the real interest rate will rise / fall / remain unchanged / change ambiguously and the equilibrium quantity of saving and investment will rise / fall / remain unchanged / change ambiguously in Malaysia’s financial market.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Question

Malaysians are at their worst financial position in 2022 compared with the last five years, and the
looming recession may push them to the brink with dwindling savings coupled with the
aftermath of the Covid-19 pandemic. A recent survey by Malaysian financial services website
RinggitPlus revealed that 70 per cent of Malaysians saved less than RM500 per month (S$153)
in 2022 or did not save at all. “This is compared with 52 per cent of Malaysians saving less than
RM500 monthly in 2021, the largest year-on-year increase since 2018,” the RinggitPlus
Malaysian Financial Literacy Survey 2022 showed....Mr Patrick Tay, deals partner, economics
and policy at Malaysia PwC, is not surprised by the decline in savings in 2022. “One reason for
the depleted savings is low wages and higher inflation. But another key reason is that Malaysians
are spending more post-pandemic on holidays or other leisure expenses because some may feel
that they saved during the pandemic, and it is fine to now spend this year rather than save,” he
told The Straits Times...

Please choose the correct answers:
a) Given the above extract, this is represented as a right shift / left shift / upward movement /
downward movement of the supply of savings in Malaysia’s financial market.
b) Given the above extract, this is represented as a right shift / left shift / upward movement /
downward movement of the demand for investment in Malaysia’s financial market.
c) Given the above extract, the real interest rate will rise / fall / remain unchanged / change
ambiguously and the equilibrium quantity of saving and investment will rise / fall / remain
unchanged / change ambiguously in Malaysia’s financial market.

Expert Solution

Step by step

Solved in 4 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions