Multiple Choice
Which of the following would unambiguously increase consumption spending?
A) an increase in real disposable income coupled with a decrease in real wealth
B) an increase in real wealth coupled with more pessimistic expectations regarding future income
C) a decrease in real disposable income coupled with a decrease in the interest rate
D) a decrease in the interest rate coupled with an increase in real wealth
E) increased pessimism regarding future income coupled with an increase in the interest rate
Correct Answer:

Verified
Correct Answer:
Verified
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