Refer to the following figure when answering the next three questions.
Figure 11.7: Life Cycle Hypothesis
-Consider Figure 11.7 of the life-cycle hypothesis. Area(s) ________ are periods of ________, and area(s) ________ are periods of ________.
A) A; borrowing; C; dissaving
B) A; borrowing; C; saving
C) B; dissaving; A and C; saving
D) A and C; dissaving; B; saving
E) A; saving; B; borrowing

Question

Refer to the following figure when answering the next three questions.
Figure 11.7: Life Cycle Hypothesis 
-Consider Figure 11.7 of the life-cycle hypothesis. Area(s) ________ are periods of ________, and area(s) ________ are periods of ________.
A) A; borrowing; C; dissaving 
B) A; borrowing; C; saving 
C) B; dissaving; A and C; saving 
D) A and C; dissaving; B; saving 
E) A; saving; B; borrowing

Quizplus · Accepted Answer

Area A represents the period of borrowing, and area C represents the period of dissaving.

Refer to the Following Figure When Answering the Next Three