Since 1970, U.S. consumption function has generally shifted ________ because of ________.
A) upward; higher expected future income and rising wealth
B) upward; higher real interest rates
C) downward; higher real interest rates
D) downward; falling wealth

Question

Quizplus · Accepted Answer

The U.S. consumption function has generally shifted upward since 1970 due to higher expected future income and rising wealth, which increase consumer confidence and spending.