As disposable income decreases, consumption:
A) And saving both increase
B) And saving both decrease
C) Increases and saving decreases
D) Decreases and saving increases

Name: As disposable income decreases, consumption: A) And saving both increase B) And saving both decrease C) Increases and saving decreases D) Decreases and saving increases
Brand: Quizplus
Rating: 4.9 (35 reviews)

Question

Quizplus · Accepted Answer

As disposable income decreases, both consumption and saving typically decrease because individuals have less income to allocate towards spending and saving.

As Disposable Income Decreases, Consumption