Which of the following is NOT usually assumed about the effect of disposable income on aggregate consumer spending?
A) Consumer spending is at a higher level of disposable income.
B) At low levels of disposable income, saving may be negative.
C) Consumption is always less than disposable income.
D) A rise in income leads to a less than proportionate rise in consumption.
C
Economics
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If a firm produces a given amount of output using the least amount of inputs, it definitely achieves economic efficiency
Indicate whether the statement is true or false
Economics
With downward-sloping monetary policy and IS curves,the aggregate demand curve is
A) downward sloping. B) flat. C) vertical. D) upward sloping.
Economics