A RISE IN INCOME WILL, CETERIS PARIBUS, BRING ABOUT
A. a movement along the demand curve B. a leftward shift of the demand curve C. a rightward shift of the demand curve ✓ D. no effect on the demand curve The answer to the question is: C. a rightward shift of the demand…
AN INCREASE IN NOMINAL INCOME WITHOUT INCREASE IN PRICE WILL RESULT TO
A. increased real income ✓ B. increased GDP C. decreased real income D. decreased GNP The answer to the question is: A. increased real income An increase in nominal income without an increase in price will result in increased real income. This is because…
THE PART OF INCOME AFTER TAX THAT IS NOT CONSUMED IS DEFINED AS
A. Wages and salaries B. Saving ✓ C. Capital investment D. Nondurable goods expenditure The answer to the question is: B. Saving Saving refers to the portion of income that is not spent on consumption and is instead set aside for future use or…