Increases in Consumer Confidence

question 52

Multiple Choice

Increases in consumer confidence

• A)decrease consumption in direct proportion to the increase in consumer confidence.
• B)directly increase consumption.
• C)tend to increase consumption spending.
• D)increase consumption only when the overall price level decreases in the economy.
• E)tend to increase household saving.

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Definitions:

Saving and Investment

The process of setting aside money for future income or profit, including purchasing assets like stocks, bonds, or real estate.

Law and Order

The legal and societal framework aimed at ensuring public safety, peace, and justice through the enforcement of laws.

Institutional Change

The process by which institutions evolve and adapt over time, often in response to changes in external conditions or internal dynamics.

Developing Nations

Countries with a less developed industrial base and a low Human Development Index relative to other countries, often characterized by a lower standard of living, infrastructure, and educational level.