The Most Important Determinant of Consumer Spending Is

question 47

Multiple Choice

The most important determinant of consumer spending is

• A) the level of household borrowing.
• B) consumer expectations.
• C) the stock of wealth.
• D) the level of income.

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Definitions:

Bromides

Commonplace remarks or clichés that lack originality or interest.

Platitudes

Overused statements or cliches that often lack originality or significance.

Pareto Efficient Allocation

A situation in economic theory where resources are allocated in such a way that it is impossible to make any one individual better off without making at least one individual worse off.

Pareto Optimal Allocation

A resource distribution scenario where no individual can be made better off without making at least one individual worse off.