Which of the Following Statements About Consumption and Investment Is

question 60

Multiple Choice

Which of the following statements about consumption and investment is correct?

• A)consumption is more volatile than investment.
• B)investment and consumption exhibit approximately the same degree of volatility.
• C)a permanent change in income will have a relatively larger effect on consumption than on investment.
• D)none of the above

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Definitions:

Afro-Caribbean Immigrants

Individuals from the Caribbean region of African descent who have migrated to other countries.

Educated and Prosperous

Describing individuals or societies that have achieved a high level of education and economic success.

African Americans

A racial or ethnic group in the United States with ancestry primarily from sub-Saharan Africa.

Afro-Caribbeans

People of African descent living in the Caribbean, or with ancestry linked back to the Caribbean, who share a unique cultural heritage influenced by African, European, and Indigenous cultures.