Consumption is most likely to respond one-for-one with changes in current income when
A) the change in current income results from a one-time bonus.
B) people believe the change in their current income is temporary.
C) people are able to borrow as much as they wish, as long as they pay it back.
D) the change in current income is caused by the business cycle.
E) none of the above
E
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Collective consumption goods are _____
a. goods that can be consumed by additional consumers without reducing the amount available to existing consumers b. goods that can be produced for everyone at zero marginal cost c. goods that are produced and consumed by an entire group, such as a commune that raises its own vegetables d. goods that once produced, can be consumed by additional consumers without reducing the amount available to existing consumers
According to the text, Singapore and Hong Kong are classified as industrially advanced countries (IACs)
a. True b. False Indicate whether the statement is true or false