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प्रश्न
‘As the income increases, people tend to save more’. Justify the given statement.
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उत्तर
At a lower level of income, a consumer spends a larger proportion of his/her income on consumption expenditure (basic survival requirements). As the income increases, owing to the psychological behavior of a consumer (rational), people tend to consume less and save more for future uncertainty.
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संबंधित प्रश्न
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