Consider the following headline: U.S. consumer spending up 0.4 percent in January while income increased 0.3 percent
Published March 03, 2014
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Associated Press
According to the NBC Learn clip Consumer Confidence Hits Five-Year High, how does optimism and certainty about the economy affect consumer spending? Synthesizing the concepts of consumer confidence and aggregate demand, describe how spending can bring an economy out of a recessionary gap and whether increased spending is justified even if incomes don’t keep up.
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