Question 1
According to the life-cycle theory of consumption, people tend to consume ________ they earn during their early and later years.
◦ more than
◦ less than
◦ the same as
◦ an amount unrelated to what
Question 2
According to the life-cycle theory of consumption, people tend to ________ during their main working years.
◦ save
◦ dissave
◦ consume more than they earn
◦ accumulate negative wealth