हिंदी

‘As the income increases, people tend to save more’. Justify the given statement. - Economics

Advertisements
Advertisements

प्रश्न

‘As the income increases, people tend to save more’. Justify the given statement.

संक्षेप में उत्तर

उत्तर

At a lower level of income, a consumer spends a larger proportion of his/her income on consumption expenditure (basic survival requirements). As the income increases, owing to the psychological behavior of a consumer (rational), people tend to consume less and save more for future uncertainty.

shaalaa.com
Determination of Income in Two-sector Model
  क्या इस प्रश्न या उत्तर में कोई त्रुटि है?
2021-2022 (April) Term 2 Sample
Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×