Which of the Following Would Not Increase Autonomous Consumption Spending

question 68

Multiple Choice

Which of the following would not increase autonomous consumption spending?

• A) Expectations of greater future income
• B) A lower interest rate
• C) Reduced consumer debt
• D) Increased household wealth
• E) Increased disposable income.

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Definitions:

Land Holding

Real estate or land owned by an individual or entity, including the natural resources and rights that come with the property.

Unrealized Profit

Profits that have been earned but not yet realized through a transaction, often related to investments that have increased in value but have not been sold.

Consolidation Purposes

The process of combining financial statements of separate business entities within a group for reporting as one entity.

Unrelated Party

A party or entity that does not have a familial, business, or financial relationship with another party, ensuring transactions are conducted at arm's length.