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Which hypothesis is likely to have a larger impact on consumption during economic downturns?
- a)Absolute income hypothesis.
- b)Relative income hypothesis.
- c)Permanent income hypothesis.
- d)Transitory income hypothesis.
Correct answer is option 'C'. Can you explain this answer?
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Which hypothesis is likely to have a larger impact on consumption duri...
The permanent income hypothesis suggests that consumption is primarily influenced by permanent income. During economic downturns, households may be more inclined to maintain their consumption patterns based on their permanent income expectations, leading to a larger impact on consumption according to this hypothesis.
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Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer?
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Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer?.
Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which hypothesis is likely to have a larger impact on consumption during economic downturns?a)Absolute income hypothesis.b)Relative income hypothesis.c)Permanent income hypothesis.d)Transitory income hypothesis.Correct answer is option 'C'. Can you explain this answer?.
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