Asked by
Jesani Caban
on Oct 13, 2024
Verified
When consumption is 4,000
A) disposable income is 4,000.
B) savings is zero.
C) disposable income is equal to consumption.
D) All the choices are true.
Disposable Income
The disposable capital for households' spending and saving endeavors after income taxes.
Consumption
The process of purchasing goods and services to fulfill the needs and wants of individuals.
- Become familiar with how disposable income influences consumption patterns.
- Provide an overview of the concepts related to savings, investment, and consumption.
Verified Answer
AG
Learning Objectives
- Become familiar with how disposable income influences consumption patterns.
- Provide an overview of the concepts related to savings, investment, and consumption.