All of the following will shift the consumption function EXCEPT
A)a change in wealth.
B)a change in the rate of interest.
C)a change in income.
D)a change in expectations concerning economic conditions.

Question

Quizplus · Accepted Answer

A change in income does not shift the consumption function; it causes movement along the consumption function. Changes in wealth, interest rates, and expectations can shift the consumption function.

All of the Following Will Shift the Consumption Function EXCEPT