Question

Consumption depends ______ on disposable income, and investment depends ______ on the real interest rate.

Answer 1

Answer: positively; negatively

Step-by-step explanation:

Consumption depends positively on disposable income, and investment depends negatively on the real interest rate.

It should be noted that the disposable income is the income that remains when tax gas been deducted and consumption depends positively on it as a higher disposable income means an higher consumption