Some people think that it is better for a country’s economy for people to spend money while others believe that it would be better for people to save money. Discuss both sides and give your opinion.

Spending or saving

money

has been one of the vigorously discussed topics in many communities. A segment of society is convinced that for the economical development of a

country

, individuals should spend more of their financial resources on purchasing goods and products. Others,

however

, believe the opposite. The following paragraphs will discuss both opinions and explain why expenditures are necessary for a

country

's

economy

. On the one hand, saving

money

is important for the

economy

of every

country

.

First

of all, savings help a

country

to overcome economic recession and default. In

this

case, individuals will have financial resources to cover basic needs, rather than falling into despair.

Secondly

, increased savings means that banks have enough resources to lending

money

for investment purposes.

As a result

, more new businesses will be able to enter the market. Which in turn will

additionally

stimulate economic growth.

For instance

, if banks lend

money

to a construction company, that would mean that more people will get employed and the problem of housing lack will be alleviated.

On the other hand

, there is a ground to believe that expenditures are more essential for the

economy

. Gross Domestic Product, in short GDP, represents the health of a given

country

. Only consumption can increase

this

indicator and precisely define the economical situation. To illustrate, in order to cater to the increased demand, manufacturers have to produce more goods,

this

, in turn, creates more job openings.

As a result

, more people will get financial rewards and will be potential consumers for other businesses. While with low consumption rates, businesses will fail and face become bankrupt. To conclude, I believe that consumer sendings are more efficient for the

economy

of a

country

.

Nonetheless

, the importance of savings should not be ignored.