If Consumption Is Greater Than Disposable Income,it Follows That

question 71

Multiple Choice

If consumption is greater than disposable income,it follows that

• A) interest rates are rising.
• B) the budget deficit is shrinking.
• C) saving is negative.
• D) the multiplier is inoperative.
• E) none of the above

---

Definitions:

Social Conversations

Informal talks between people which involve the exchange of ideas, feelings, and information in a social context.

Locus of Control

A psychological concept that refers to individuals' beliefs about the extent to which they can control events affecting them.

Gratification

The satisfaction or pleasure felt when a need or desire is fulfilled.

Self-Cognitive Perspective

An approach in psychology that emphasizes the role of cognitive processes in understanding the self, including thoughts, beliefs, and attitudes towards oneself.