The Sensitivity of Current Consumption to Changes in Current Income

question 31

Multiple Choice

The sensitivity of current consumption to changes in current income can be explained by

• A)myopia
• B)the absence of liquidity constraints
• C)the fact that consumers have the opportunity to borrow
• D)the fact that consumers always realize when a permanent change in income has occurred
• E)none of the above

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A hub or focal point for intellectual activities, including education, research, and discussion.

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A style of European architecture, art, and literature that flourished in the medieval period, characterized by pointed arches, ribbed vaults, and flying buttresses.

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