Consumption function

Consumption function,

Definition of Consumption function:

  1. The classic consumption function suggests consumer spending is wholly determined by income and the changes in income. If true, aggregate savings should increase proportionally as gross domestic product (GDP) grows over time. The idea is to create a mathematical relationship between disposable income and consumer spending, but only on aggregate levels.

  2. The consumption function, or Keynesian consumption function, is an economic formula that represents the functional relationship between total consumption and gross national income. It was introduced by British economist John Maynard Keynes, who argued the function could be used to track and predict total aggregate consumption expenditures.

  3. Concept that a consumers expenditure depends on (is a function of) his or her disposable income.

Meaning of Consumption function & Consumption function Definition

Consumption Function,

What is Consumption Function?

  1. The consumption function, or kinetic consumption function, is an economic formula that represents the practical relationship between total consumption and gross national income. It was presented by British economist John Maynard Kane, who argued that the event could be used to track and predict total consumer spending.

Literal Meanings of Consumption Function

Consumption:

Meanings of Consumption:
  1. Resource exhaustion.

  2. Weak disease, especially pulmonary tuberculosis.

Sentences of Consumption
  1. Industrialized countries should reduce their energy consumption

  2. Your mother died of tuberculosis

Synonyms of Consumption

emaciation, tuberculosis, using up, utilization, expenditure, pulmonary tuberculosis, expending, use, wasting disease, TB

Function:

Meanings of Function:
  1. An activity or purpose that is natural or intended for a person or purpose.

  2. Relationships or expressions involving one or more variables.

  3. Something that depends on one or more factors.

  4. Great social events or solemn events.

  5. It works or works in a special or special way.

Sentences of Function
  1. Bridges are used to provide access to water.

  2. Function (bx + c)

  3. Class shamelessness is a work of social power

  4. He is required to attend party functions

  5. Your heart is working normally

Synonyms of Function

social occasion, affair, gala, corollary, concomitant, run, task, gathering, be operative, operate, social event, use, be in running order, be in working order, outcome, reception, party, consequence, result, jamboree, occasion, celebration, work