Order Your Paper From the most reliable Essay writing Service. 

.

 



Question: Aggregate expenditure equals  a. C + I + G  b. C + I + X - IM  c.  C + I + G + X - IM  d. C + I  ...

Show transcribed image text Aggregate expenditure equals a. C + I + G b. C + I + X – IM c. C + I + G + X – IM d. C + I The consumption function a. is a relationship between annual consumption and annual disposable income in an economy b. Will shift upward if aggregate household wealth declines c. implies that annual consumption in an economy will be zero if disposable income is zero d. Is a flat line with zero slope Induced consumption is caused by a. Total household debt b. Total household wealth c. Disposable income d. Interest rates If disposable income and consumption in an economy are equal; a. Consumers must be incurring debt b. Household saving must be zero c. Consumption must also be equal to saving d. None of the above

Aggregate expenditure equals a. C + I + G b. C + I + X – IM c. C + I + G + X – IM d. C + I The consumption function a. is a relationship between annual consumption and annual disposable income in an economy b. Will shift upward if aggregate household wealth declines c. implies that annual consumption in an economy will be zero if disposable income is zero d. Is a flat line with zero slope Induced consumption is caused by a. Total household debt b. Total household wealth c. Disposable income d. Interest rates If disposable income and consumption in an economy are equal; a. Consumers must be incurring debt b. Household saving must be zero c. Consumption must also be equal to saving d. None of the above