As a household's disposable income increases, its autonomous ...

[jman1234]

As a household's disposable income increases, its autonomous expenditures ________ and its induced expenditures ________.
 
  A) increase; do not change
  B) decrease; do not change
  C) increase; increase by a smaller amount than the increase in income
  D) do not change; increase by an amount equal to the increase in income
  E) do not change; increase by a smaller amount than the increase in income

Question 2

A reason for an increase in labor productivity growth is
 
  A) an increase in the population so that firms hire more workers.
  B) a decrease in the capital stock so that firms must hire more workers.
  C) an increase in people's human capital.
  D) an increase in the quantity of labor.
  E) growth in the supply of labor.

[Joc]

Answer to Question 1

E

Answer to Question 2

C

[jman1234]

Gracias!

[kthug]

Thanks for the timely response, appreciate it