ABSTRACT
We turn now from our consideration of the determinants of the rate of technical progress (r) and of the growth rate of the working population (l) to a consideration of the determinants of the proportion of income saved (S). In Chapters VI to VIII we simply assumed that the savings proportion was given and constant and we examined the effects of any such given savings proportion upon growth. In Chapter XI we assumed that the savings proportion might be affected by the standard of living without enquiring further into the reasons why this might be so. We must now examine in more detail the economic considerations which may influence the citizen's choice between saving and spending.
