Which of the Following Is a Reason That Consumption Depends

question 7

Multiple Choice

Which of the following is a reason that consumption depends on current income,and not just on total wealth?

• A)Banks will not always lend money to those who want to consume more than their income.
• B)The anticipation of future financial distress makes some people reluctant to borrow.
• C)Low income people may prefer to postpone some consumption until later years, when their incomes are higher.
• D)all of the above
• E) none of the above

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Definitions:

Benzoyl Chloride

An organic compound used as an acylating agent in organic synthesis, with the formula C6H5COCl.

Phenyl Propyl Ketone

An organic compound consisting of a ketone functional group bonded to a phenyl group and a propyl group.

Major Organic Product

The primary product of an organic reaction that is formed in greater quantity than any other products.

Grignard Reagent

A highly reactive chemical compound formed by the reaction of an alkyl or aryl magnesium halide with a metal, used in organic synthesis.