Asked by
Shaikha Almansoori
on Oct 13, 2024
Verified
When there is dissaving,the APC is
A) greater than one.
B) equal to one.
C) less than one.
Dissaving
Dissaving occurs when expenditures exceed income, leading to a depletion of savings or the accumulation of debt.
APC
The abbreviation for Average Propensity to Consume, which is the fraction of income that is spent on consumption rather than saved.
- Evaluate the association between disposable income, consumption habits, and savings behavior.
- Evaluate the relevance of dissaving and its consequences.
Verified Answer
NC
Learning Objectives
- Evaluate the association between disposable income, consumption habits, and savings behavior.
- Evaluate the relevance of dissaving and its consequences.