According to Keynes, Planned Consumption

question 398

Multiple Choice

According to Keynes, planned consumption

• A) decreases as disposable income increases.
• B) is unstable and fluctuates widely with changes in disposable income.
• C) is positively related to real disposable income.
• D) is positively related to the interest rate.

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Definitions:

Balancing

The process of ensuring stability or equilibrium in a system or situation.

Consumer Needs

Fundamental requirements that motivate individuals to make purchase decisions, such as food, shelter, and safety.

Paraphilia Behaviors

Patterns of sexual interest or activities that deviate significantly from the norm, often involving atypical objects, fantasies, behaviors, or individuals.

Ethnic Groups

Social groups that share a common national or cultural tradition.