Multiple Choice
According to the permanent income hypothesis,the impact of ________.
A) a change in permanent income on consumption is greater than the impact resulting from a change in transitory income
B) a change in transitory income on consumption is greater than the impact resulting from a change in permanent income
C) a change in transitory income is felt primarily through changes in the total tax revenue paid to the federal government
D) a change in permanent income on consumption is larger than the impact resulting from a change in future income
Correct Answer:
Verified
Correct Answer:
Verified
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