Which of the following will shift the consumption function upward?
a. A decrease in stock prices
b. An increase in stock prices
c. A higher price level
d. A lower disposable income
e. A higher disposable income
b
You might also like to view...
Bracket creep forces taxpayers to pay a larger percentage of their income in taxes when which of the following occurs?
(a) The emergence of high unemployment (b) Inflation (c) Deflation (d) The growth of trade deficit(s)
Which of the following short-run outcomes for monopolistic competition is NOT possible?
A) P = MR = MC. B) P > MC > ATC. C) P = ATC. D) P > ATC.
The distinction between real and nominal rates of interest is understood by
A. most public policy makers. B. the majority of the American population. C. a majority of legislators. D. relatively few Americans.
An increase in AD will trigger less inflation under which of the following conditions?
A. AD is relatively steep. B. AD is relatively flat. C. AS is relatively steep. D. AS is relatively flat.