If the country is experiencing rapid economic growth and increasing personal incomes,what is the expected result on consumption and investment?
A)Consumption and investment will both increase.
B)Consumption will decrease and investment will increase.
C)Consumption will increase and investment will decrease.
D)Consumption and investment will both decrease.

Question

Quizplus · Accepted Answer

Rapid economic growth and increasing personal incomes lead to increased disposable income, which results in increased spending on both consumption and investment. Therefore, both consumption and investment are expected to increase in such a scenario.

If the Country Is Experiencing Rapid Economic Growth and Increasing