The Consumption Function Relates the Consumption Expenditure Decisions of Households

question 11

Multiple Choice

The consumption function relates the consumption expenditure decisions of households to

• A) the level of disposable income.
• B) investment decisions of firms.
• C) saving decisions of households.
• D) the nominal interest rate.

Recognize the foundational elements and critiques of Freud's psychoanalytic theory.

Identify the techniques used in psychoanalysis, such as free association.

Understand the development and contributions of psychodynamic theories descended from Freud's original ideas.

Recognize the role of the id, ego, and superego in personality development according to Freud.

---

Definitions:

Hedonic Relevance

The degree to which a situation or an object can produce pleasurable or unpleasurable sensations.

Kelly's Attribution Theory

A psychological theory proposed by George Kelly that focuses on how individuals interpret events and how this relates to their thinking and behavior.

Covariation Principle

A principle in social psychology that asserts that for someone to attribute an effect to a condition, they must observe that the effect covaries with the condition across time.

Dispositional Attribution

The tendency to attribute someone's behavior to their personality, character, or disposition rather than situational factors.