The tendency of changes in asset prices to affect spending on consumption goods

The tendency of changes in asset prices to affect

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32.The tendency of changes in asset prices to affect spending on consumption goods is called the _____ effect. A. incomeB. substitutionC. wealthD. multiplier
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33.Changes in the constant term in the consumption function could be the result of:
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34.A decrease in stock prices alters the consumption function by:
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35.When housing prices decrease, household wealth _____ and consumption _____.
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36.The marginal propensity to consume is the: A. amount by which disposable income increases when consumption increases by $1.B. amount by which consumption increases when disposable income increases by $1.C. percentage by which consumption increases when disposable income increases by $1.D. percentage by which disposable income increases when consumption increases by $1.
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37.If consumption increases by $16 when after-tax disposable income increases by $20, the marginal propensity to consume equals:
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38.If consumption increases by $14 when after-tax disposable income increases by $20, the marginal propensity to consume equals:
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39.If the marginal propensity to consume equals 0.6, then a $50 increase in after-tax disposable income leads to a _____ increase in consumption.
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40.Data on after-tax income and consumption spending for the Adam Smith family are given below:Based on these data the Adam Smith family has a marginal propensity to consume of: A. 0.75B. 0.8C. 0.9D. 0.6
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41.Data on after-tax income and consumption spending for the Adam Smith family are given below:Based on these data the Adam Smith family has a marginal propensity to consume of:
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42.Data on after-tax income and consumption spending for the Adam Smith family are given below:Based on these data the Adam Smith family has a marginal propensity to consume of:
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43.The portion of planned aggregate expenditure that is independent of output is called ______ expenditure.
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44.Autonomous expenditure is the portion of planned aggregate expenditure that: A. equals aggregate output.B. equals planned spending.C. equals induced expenditure.D. depends on output.
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