Consumption is
A)income not saved.
B)income spent on investment goods and financial assets.
C)income invested in financial assets only.
D)None of the above.

Question

Quizplus · Accepted Answer

Consumption refers to the portion of income that is spent on goods and services for current use and is not saved. Option B refers to investment spending and option C refers to only investing in financial assets, which is not equivalent to consumption. Therefore, the correct choice is A.

Consumption Is