Exhibit 8-14 Consumption function 
In Exhibit 8-14, which of the following could cause the shift from C1 to C2?
A) An increase in disposable income.
B) A decrease in disposable income.
C) Legislation tightening credit availability.
D) Legislation lowering tax rates.
E) Lower capacity utilization rates.
Correct Answer:
Verified
Q207: The vertical intercept of the consumption function
Q208: The consumption function has a negative slope.
Q209: Saving is disposable personal income spent on
Q210: Saving is disposable personal income not spent
Q211: Exhibit 8-13 Investment expenditures Q213: Exhibit 8-15 Disposable income and consumption data Q214: Exhibit 8-15 Disposable income and consumption data Q215: Exhibit 8-14 Consumption function Q216: Exhibit 8-15 Disposable income and consumption data Q217: If autonomous consumption is greater than zero
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents