Consumption spending will ________ when disposable income ________ and increase when disposable income increases.
A)increase; increases
B)increase; decreases
C)decrease; decreases
D)remain the same; increases

Question

Quizplus · Accepted Answer

Consumption spending decreases when disposable income decreases because individuals have less money to spend on goods and services. Conversely, when disposable income increases, people have more money available, leading to an increase in consumption spending.

Consumption Spending Will ________ When Disposable Income ________ and Increase

Consumption Spending Will When Disposable Income and Increase