The relationship between planned consumption and real disposable income is referred to as
A) the wealth function.
B) the saving function.
C) the multiplier.
D) the consumption function.

Question

Quizplus · Accepted Answer

The relationship between planned consumption and real disposable income is known as the consumption function. It describes the expected level of consumption based on the level of disposable income.

The Relationship Between Planned Consumption and Real Disposable Income Is