The Saving Schedule Shown in the Diagram Below Would Shift

question 26

Multiple Choice

The saving schedule shown in the diagram below would shift downward if, all else equal:

• A)the average propensity to save increased at each income level.
• B)the marginal propensity to save rose at each income level.
• C)consumer wealth rose rapidly because of a significant increase in stock market prices.
• D)the real interest rate increased.

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Definitions:

Mentally Disabled

A condition that limits a person's cognitive, emotional, or behavioral functioning.

Status Indians

Individuals who are legally recognized as Indians under the Canadian Indian Act, entitling them to certain rights and benefits.

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