The Department of Labor monitors consumer expenditures through its annual Consumer Expenditure Survey. In the most recent report, consumers spent after taxes about 13 percent of their income on food, 33 percent on __________, 3 percent on clothes, and 24 percent on transportation and health care, with the rest generally considered discretionary.

Question

Quizplus · Accepted Answer

The missing expense category is likely to be housing. The percentages given add up to 73%, leaving 27% of the consumer's income unaccounted for. Since housing expenses (mortgage/rent, utilities, etc.) are typically one of the largest expenditures for consumers, it is reasonable to assume that it makes up the missing category. Therefore, the best choice is B) housing.

The Department of Labor Monitors Consumer Expenditures Through Its Annual