Which of the Following Is a Reason for a Decrease

question 119

Multiple Choice

Which of the following is a reason for a decrease in the average propensity to consume with an increase in income?

• A) The amount of savings decreases, and the consumption of necessities increases.
• B) The expenditure on luxury goods increases, and the amount of savings decreases.
• C) The expenditure on luxury goods represents only a small portion of income.
• D) The amount of savings represents only a small portion of income.
• E) The cost of necessities represents only a small portion of income.

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Definitions:

Color Blindness

An inability or decreased ability to see color, or perceive color differences, under normal lighting conditions.

Squint

A condition where the eyes do not look in exactly the same direction at the same time, often referred to as strabismus.

Meniere's Disease

A disorder of the inner ear causing vertigo, hearing loss, and tinnitus, often leading to a feeling of fullness in the ear.

Unsteadiness

A lack of stability which can result in difficulty maintaining balance, often affecting walking or standing.