The consumption and saving schedules reveal that:
A)consumption rises, but saving declines, as disposable income rises.
B)saving varies inversely with the profitability of investment.
C)saving varies directly with the level of disposable income.
D)saving is inversely related to the rate of interest.
Answer:C
The consumption and saving schedules reveal that:
A)consumption rises, but saving declines, as disposable income rises. B)saving varies inversely with the profitability of investment. C)saving varies directly with the level of disposable income. D)saving is inversely related to the rate of interest.