--%>
Assignment Help - homework help

Consumption and saving schedules

The consumption and saving schedules demonstrate that: A) consumption rises, but saving declines, as disposable income rises. B) saving varies inversely with the profitability of investment. C) saving varies directly with the level of disposable income. D) saving is inversely related to the rate of interest.

   Related Questions in Microeconomics

  • Q : Maximizes profit at total economic of

    When the wholesale price P = $8 per bushel of peaches, it purely competitive peach orchard maximizes profit via producing ___ bushel of peaches at a total economic of profit or loss of $___. (i) zero; loss; -$4,000. (

    		•
  • Q : Prohibition in Economic Profit Economic

    Economic profits are not: (1) a surplus of revenues over opportunity costs. (2) quite similar to pure economic rents from society’s viewpoint. (3) zero in a purely competitive economy along with no uncertainty and zero transaction costs. (4) dif

    		•
  • Q : Relative value of additional unit of a

    In equilibrium, the relative value of an additional unit of a good to a specified consumer is approximately proportional to the: (w) marginal revenue to the firm that sold the good. (x) marginal production cost of the good. (y) relative market price of the good. (z) a

    		•
  • Q : Spending pattern for maximizing utility

    The consumer maximizes utility if spending patterns cause: (1) Level of net utility to increase each time purchases are modified. (2) Marginal utilities of each and every good consumed to be equivalent. (3) Principle of corresponding marginal utilities per dollar to b

    		•
  • Q : Loss in social welfare with quantity

    When pharmaceutical manufacturers conspire to generate only Q1 penicillin, in that case the: (i) purely-competitive firms which produced penicillin would experience economic losses. (ii) resulting excessive antibiotic treatments would produce strains of dru

    		•
  • Q : Competition in Labor Markets The

    The horizontal labor supply curve signifies that: (i) The supply of labor is perfectly inelastic. (ii) The firm can hire as much labor as it requires at going wage rate. (iii) Labor and capital are in the fixed supply. (iv) Marginal physical product of the labor is co

    		•
  • Q : Stream of Present Value of Annual Income

    The present value of an annual income stream which goes onto forever is: (w) infinite. (x) zero. (y) the annual income multiplied through the interest rate. (z) the annual income divided through the interest rate.

  • Q : Barriers to entry for new firms in

    Barriers to entry, that is:  (w) make this complicated or impossible for new firms to profitably enter an industry. (x) uniformly violate U.S. antitrust statutes. (y) are essentially technological instead of economic. (z) stimulate aggressive com

    		•
  • Q : Risk-Return-Diversification The below

    The below table presents the three possible states for stocks A and B returns. (a) De

    		•
  • Q : Pure competition market A purely

    A purely competitive market would NOT be illustrated by: (1) many potential buyers and sellers. (2) each buyer or seller being a price taker. (3) an absence of long-run barriers to entry or exit. (4) aggressive advertising to compare brands. (5) a sin

    		•