When a person receives an increase in wealth then the consumption increases and Savings decreases. This is related to the theory of "Wealth effect".
The wealth effect states that when the wealth of households rises, it results as rise in asset values, such as corporate stock prices or home values, they spend more and stimulate the broader economy.
The theory is dependent on economic behavior of a person that consumers feel more financially secure and confident about their wealth when their homes or investment increase in value. They are made to feel richer, even if their income and fixed costs are the same as before.
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You should be in the state Wisconsin
Answer:
The Han invented hemp paper, invented the seismograph, and the stirrup for horse riding. They also invented the wheelbarrow and the suspension bridge.
Explanation:
Answer:Psychology as a self-conscious field of experimental study began in 1879, in Leipzig Germany, when Wilhelm Wundt founded the first laboratory dedicated exclusively to psychological research in Germany
