In the late 1990s the U. S. stock market boomed, causing U. S. consumption to rise. Economists refer to this outcome as the:
A)Keynes effect.
B. interest-rate effect.
C. wealth effect.
D. multiplier effect.
Answer:C
In the late 1990s the U. S. stock market boomed, causing U. S. consumption to rise. Economists refer to this outcome as the:
A)Keynes effect. B. interest-rate effect. C. wealth effect. D. multiplier effect.