All else equal, if income continues to remain flat, the only way for consumer spending to increase is for personal savings to
A)increase.
B)decrease.
C)remain unchanged.
D)remain flat.

Question

Quizplus · Accepted Answer

If income remains flat, consumer spending can only increase if personal savings decrease, as the money used for increased spending would come from the savings.

All Else Equal, If Income Continues to Remain Flat, the Only