An increase in the wealth of households, other things remaining the same, can result in ____ the consumption function.

Name: An increase in the wealth of households, other things remaining the same, can result in ____ the consumption function.
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Question

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An increase in household wealth would result in an upward shift in the consumption function as households would feel more confident in their financial situation, leading them to increase consumption at each level of income.

An Increase in the Wealth of Households, Other Things Remaining