When a large number of people in society save more and it results in a decline in national income and an increase in unemployment this is known as

a. the fallacy of composition.
b. moral hazard.
c. the paradox of thrift.
d. marginal analysis.

c. the paradox of thrift.

Economics

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Which component of federal spending is included in GDP?

A) transfer payments B) government purchases C) net exports D) capital supply

Economics

The tools of the Federal Reserve:

A. sometimes rely on other actors, such as banks, who can sometimes be unreliable. B. are easy to use and usually have predictable, standardized effects. C. sometimes rely on other actors, such as banks, whose actions can be easily predicted. D. tend to be politically unpopular and thus are rarely used to their full capability.

Economics