Which Statement Is Consistent with What Keynes Believed About Consumption

question 7

Multiple Choice

Which statement is consistent with what Keynes believed about consumption and disposable income?

• A) Consumption depends upon disposable income and falls as disposable income rises.
• B) Consumption rises by the same amount as disposable income rises.
• C) Consumption rises by less than disposable income rises.
• D) Disposable income depends upon consumption.

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Definitions:

Gallbladder

A small, pear-shaped organ located beneath the liver that stores and concentrates bile produced by the liver.

Axillary Region

The area of the body under the joint where the arm connects to the shoulder, commonly known as the armpit.

Sural Region

Pertaining to the calf or posterior area of the lower leg.

Crural Region

Pertains to the leg, specifically the part of the lower limb between the knee and the ankle.