Explanation:
so inflations refers to the rise in the prices of goods and services which of daily, including goods and services such as clothings, transport and all those.
people who earn an average and depend entirely on savings will suffer, even subsistence farmers and mainly everyone, but mostly are people who depend entirely on savings, as prices rise, spending rises, reducing savings.
Answer: Eben has a great inexperience
Explanation:
Answer:
The correct answer is C) Consumption function shifts up
Explanation:
The consumption function is C = a + b x Yd
where:
- C = Total consumption
- a = autonomous consumption
- b x Yd = induced consumption
Autonomous consumption is consumption that does not depend on income. Even if your income is zero, you still have to engage in this type of consumption to survive (for example, food).
When you graph a consumption function, the Y axis represents total consumption and the X axis represents income. Autonomous consumption is located somewhere along the Y axis, with the X being zero. If Autonomous consumption increases, the point in the Y axis will move up, but the point in the x axis will still be zero, hence, the function will shift up.
