Question

Consumption expenditures consists of

a Purchases of airline tickets.
b Purchases of automobiles.
c Purchases of food.
d All of these.

Answer 1

Consumption expenditure consists of purchases of airline tickets, automobiles, and food. It refers to spending by households and individuals on durable goods, nondurable goods, and services.

Step-by-step explanation:

Consumption expenditure refers to spending by households and individuals on durable goods, nondurable goods, and services. This includes purchases of airline tickets, automobiles, and food. Durable goods are items that last over time, such as automobiles, while nondurable goods are things like food that are consumed and gone. Services, such as airline tickets, are also considered consumption expenditure.