In the US, the Amount in Savings Contributed to IRAs Rose from Rose

Multiple Choice

In the U.S., the amount in savings contributed to IRAs rose from $239 billion in 1992 to $3,667 billion by 2005, while overall savings actually dropped from low to lower. Evidence suggests that, in the economy as a whole, increased savings in these retirement accounts:

A) are the negative result of a change in wage levels and a higher work effort.
B) the result of personal preferences and intertemporal budget constraints.
C) are being offset by negative savings or less savings in other kinds of accounts.
D) the result of a higher interest rates and preferences about present consumption.