An increase in household debt will lead to an increase in consumption expenditures.

Name: An increase in household debt will lead to an increase in consumption expenditures.
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An increase in household debt may initially boost consumption expenditures, but over time, the need to service this debt (pay interest and principal) can lead to a decrease in disposable income, potentially reducing consumption expenditures as households prioritize debt repayment over new spending.

An Increase in Household Debt Will Lead to an Increase