Difficulty: Easy
Correct Answer: 30% – 35%
Explanation:
Given data
Concept / Approach
India’s savings rate is a macro aggregate that has typically hovered around the low-30s percent of GDP in recent years. Hence, among the coarse ranges given, 30–35% best captures the contemporary level.
Step-by-step reasoning
Compare coarse ranges to known long-run averages: below 25% would be too low for India’s recent experience; 25–30% is borderline but tends to underestimate; 30–35% aligns with common macro data points.
Verification / sanity checks
Historical series since the 2000s show the savings rate predominantly in the upper 20s to low 30s, with many recent observations close to ~30%.
Common pitfalls
Final Answer
30% – 35% is the most appropriate broad range among the options.
Discussion & Comments