Which of the Following Will Shift the Consumption Function Upward

question 116

Multiple Choice

Which of the following will shift the consumption function upward?

• A)A decrease in disposable income
• B)An increase in disposable income
• C)An increase in the interest rate
• D)Expectations of lower future prices
• E)An increase in net wealth

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Definitions:

Observational Learning

Acquiring new behaviors or knowledge by watching and imitating others.

Preschool Children

Young children, typically aged between 3 and 5 years, who are in the developmental stage before attending kindergarten.

Observational Learning

The process of gaining knowledge by watching others' actions and the results of those actions.

Immediate Reinforcement

The provision of a reward or punishment immediately following a behavior, which increases the likelihood of that behavior being repeated in the future.