The Theoretical Model of the Intertemporal Budget Constraint for the U.S

Multiple Choice

The theoretical model of the intertemporal budget constraint for the U.S. economy as a whole suggests that the most common pattern seems to be that:

A) the quantity of savings automatically adjusts to changes in the rate of return.
B) the quantity of savings doesn't adjust much to changes in the rate of return.
C) the result of a higher rate of return is a higher quantity of saving.
D) the result of a lower rate of return is a lower quantity of saving.