Personal consumption expenditures is spending by households:
A) on new goods and services.
B) on food and other goods, but not services.
C) on new goods and services that originates only with transfer payments.
D) plus businesses and the government on food and other nondurable goods.

Question

Quizplus · Accepted Answer

Personal consumption expenditures refer to the spending by households on new goods and services, encompassing a wide range of products and services. This includes durable goods (like cars and appliances), nondurable goods (such as food and clothing), and services (like healthcare, education, and entertainment).

Personal Consumption Expenditures Is Spending by Households