A Decrease in Consumer Confidence Can Put Your Job at Risk

question 204

Multiple Choice

A decrease in consumer confidence can put your job at risk if

• A)aggregate expenditures fall.
• B)consumers expect their incomes to rise in the future.
• C)aggregate expenditures rise.
• D)consumers expect firms to increase investment in the future.

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Definitions:

Marginal Resource Cost

It refers to the additional cost incurred by a firm when it uses one more unit of input.

MRP

Marginal Revenue Product, which is the additional revenue generated from employing one more unit of a resource, such as labor or capital.

Professional Football

A sport involving organized teams who play football for payment in leagues with set rules and competitions.

Income

The money or other benefits received, usually in return for labor, services, or investment, constituting the basis for consumption and savings.