In the Expected Effects Matrix,those Problems Placed in the Bottom

question 49

Multiple Choice

In the expected effects matrix,those problems placed in the bottom / right cell:

• A)must be dealt with immediately.
• B)are "alert" variables that must be watched closely.
• C)can be safely ignored.
• D)are "control" variables that require contingency planning and tracking,if possible.

---

Definitions:

APS

Average Propensity to Save; the fraction of total income that is saved by the economy or an individual at a certain time.

APC

Average Propensity to Consume, a statistical measure reflecting the percentage of income that is spent on goods and services as opposed to being saved.

Disposable Income

The amount of money a household has available for spending and saving after income taxes have been accounted for.

Induced Consumption

Spending induced by changes in the level of income.