Personal consumption expenditures (PCE)does not include:
A)individual expenditures for durable goods
B)individual expenditures for nondurable goods
C)individual expenditures for services
D)individual savings
E)all the above are included

Question

Quizplus · Accepted Answer

Personal consumption expenditures (PCE) represent the total amount of goods and services purchased by individuals, households, and nonprofits in the economy. However, it does not include individual savings, which are considered part of personal income but are not spent on goods and services. Therefore, option D, individual savings, is not included in PCE.

Personal Consumption Expenditures (PCE)does Not Include