An Increase in the Income-Dependent Portion of the Consumption Function

question 35

Multiple Choice

An increase in the income-dependent portion of the consumption function would correspond to a

• A)Shift of the consumption function upward.
• B)Shift of the consumption function downward.
• C)Movement along the consumption function to the right.
• D)Movement along the consumption function to the left.

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Definitions:

Anticipatory Breach

A situation in contract law where one party indicates by words or actions that they will not fulfill their contractual obligations before the due time for performance.

Specific Performance

A court-ordered mandate requiring a party to fulfill their obligations under a contract, typically used when monetary damages are insufficient.

Frustrated

In legal terms, refers to a contract that cannot be fulfilled due to unforeseen circumstances, rendering the obligations impractical or impossible to perform.

Condition Precedent

A condition under which the obligations of a contract will begin; also called “subject-to” clause.