The consumption function assumes that:
a. only disposable income affects consumption
b. only the price level affects consumption.
c. many factors other than disposable income affect consumption, and each is allowed to vary along the consumption function.
d. factors other than disposable income affect consumption, but those are held constant along the consumption function.
e. only consumer expectations affect consumption.
d
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Using the scenario above what might the instructor do to avoid this same result?
What will be an ideal response?
A salesperson's bonus for this year is based on meeting targets based on last year's sales. This year turns out to be an unusually good year. The salesperson is likely to:
A. defer some sales to the next fiscal year B. just be satisfied with meeting last year's target. C. meet the target easily and push forward with all potential sales. D. fail to meet the last year's targets because of overconfidence.
Summarize how the law of supply explains the effects of price on the quantity supplied
What will be an ideal response?
Does the recent increase in trend rate productivity experienced in the U.S. mean that the business cycle is dead?
Please provide the best answer for the statement.