FINANCIAL LITERACY - TEŠ - Savings

SAVING AND INVESTMENTS – POSSIBILITIES IN MY COUNTRY JOSIPA GRGIĆ 3.B

SAVING • SAVING IS WHAT IS NOT SPENT AND WHAT IS STORED OR CAN BE USED AS VALUE (TIME SAVINGS, MONEY SAVINGS) • WE CAN SAVE IN DIFFERENT WAYS 1. OPEN A BANK ACCOUNT 2. SAVE AT HOME IN YOUR OWN PIGGY BANK

SAVINGS IN CONDITIONS OF INFLATION • IN CONDITIONS OF HIGH INFLATION, CITIZENS AND BUSINESS ARE NOT INTERESTED IN SAVING SINCE THEY CAN GET LESS AND LESS GOODS EVERY DAY FOR THE SAME AMOUNT OF MONEY

SAVINGS IN CONDITIONS OF DEFLATION • AT A TIME WHEN COMMODITY PRICES ARE FALLING INTEREST IN SAVINGS IS RISING SHARPLY

• CITIZENS AND BUSINESESS EXPECT THAT WITH DELAYED PURCHASING, THEY WILL BE ABLE TO BUY MORE GOODS WITH LESS MONEY – THE PARADOX OF AUSTERITY

INVESTING • INVESTMENTS CAN BE ANY KIND OF WAY OF INVESTING CASH

• IN FINANCE THE BENEFIT FROM AN INVESTMENT IS CALLED A RETURN • WE CAN INVEST IN : • REAL ESTATE OR MANUFACTURING • STOCKS

INVESTING PLANS • SHORT-TERM PLANS – ARE THINGS WE PLAN TO DO WITHIN 5 YEARS

• MEDIUM-TERM PLANS – ARE THINGS WE PLAN TO DO WITHIN 5-10 YEARS • LONG-TERM PLANS – ARE THINGS WHERE WE WON’T NEED MONEY 10 YEARS OR MORE

THANK YOU!