Examination of data from households shows that households with high current income ______ than do households with low current income.
A) consume less
B) save less
C) save a smaller fraction of current income
D) save a larger fraction of current income

Question

Quizplus · Accepted Answer

Examination of data from households shows that households with high current income save a larger fraction of their income compared to households with low current income. This is likely due to the fact that households with higher income have more disposable income and can afford to save more. Moreover, high-income households are more likely to have access to financial products and services that encourage savings, such as retirement accounts and investment opportunities.

Examination of Data from Households Shows That Households with High