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Consumption
The act of using up goods and services by households or individuals, leading to a decrease in their quantity.
Marginal Propensity
The ratio of a change in consumption (or saving) to a change in income, indicating how much of an income change individuals will spend or save.
Disposable Income
The amount of money available for savings or expenditure after all taxes and social security fees have been deducted.
Induced Consumption
Consumption that changes in response to changes in income or wealth, as opposed to autonomous consumption, which does not change when income changes.
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