Which Child Is LEAST Likely to Have Computers at Home

question 81

Multiple Choice

Which child is LEAST likely to have computers at home?

• A)Pentium, son of an electronics engineer
• B)Cinderella, daughter in an economically disadvantaged family
• C)Frivolia, daughter in a middle-income Caucasian family
• D)Lovato, son who watches no TV but subscribes to video game magazines

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Definitions:

Spending Multipliers

Describe the effect of a change in spending (typically by the government) on the total economic output, indicating how initial spending leads to increased levels of income and consumption.

Permanent Income

A theory suggesting that people's consumption choices are more influenced by their expected long-term average income rather than by their current income.

Consumption Spending

Expenditures by individuals and households on goods and services for personal use.

Aggregate Supply

The total supply of goods and services that firms in an economy are willing and able to sell at a given price level in a specific period.