PPT-Consumption function

What is consumption function Consumption function shows what expenditure consumers will wish to make on consumers goods and services at each possible level of income Determinants of consumption function. Risk and Choice Conference in Honor of Louis . Eeckhoudt. The 5. th. and 6. th. derivatives. Whenever I see Larry Summers, he asks me “How is the 6. th. derivative doing?” or sometimes “How is the 5. Textbook. Damodar. . N. Gujarati (2004) . Basic . Econometrics. ,. . 4th . edition, . The . McGraw-Hill Companies. ECONOMETRICS I. INTRODUCTION. What is econometrics?. Literally econometrics mean economic measurement.. Module 16. Spending. In 2009, the US Congress passed the American Recovery and Reinvestment Act – a $787 billion program to spark job growth and combat the recession.. Why did economists think a stimulus package would help the economy?. Autonomous versus induced expenditure. The consumption function. The theory of investment. Government purchase function. The net export function. Autonomous versus induced Expenditure. Autonomous expenditure. It expresses the relationship between total consumption expenditure and national income. C= f(Y). Keynes uses the term propensity to consume for consumption function.. Kurihara. . says, “ . Consumption represents the amount of consumption expenditure at a given level of income whereas the propensity to consume C/Y is a schedule of consumption expenditure at various levels of income.”. Shane Murphy. www.lancaster.ac.uk/postgrad/murphys4/econ15. s.murphy5@lancaster.ac.uk. Today’s Outline. Week 18 worksheet – Capital Markets:. We’ll try to do some questions on the board today.. . AGEC 340: International Economic Development. Course . slides for week 3 (Jan. 26 & 28. ). Consumption . Patterns*. * If you’re following the textbook, this material is in Chapter 3.. Week 3.. . storage. . with. . stochastic. . consumption. and production. Erwan Pierre – EDF R&D. SESO 2018 International Thematic . Week. - . Smart Energy and Stochastic Optimization . High . penetration. hy . central bank models failed and how to repair them. John Muellbauer, . INET@Oxford. .. Stellenbosch . seminar. , . 3 . February, 2017. Post financial crisis, macro in crisis. Paul . Romer. (2016) rightly complains . Function (CF). Greater part of Chapter 8 . & . 9 of the General Theory are devoted to factors which . underlie CF and determined . its form i.e. slope and position of the . curve. . One section . Objectives: . Define the term consumption, saving and . investment. . Explain the absolute income hypothesis, recognising the relationship between consumption and saving.. Define the term marginal / average propensity to consume (and save). . C= f(Y). Keynes uses the term propensity to consume for consumption function.. Kurihara. . says, “ . Consumption represents the amount of consumption expenditure at a given level of income whereas the propensity to consume C/Y is a schedule of consumption expenditure at various levels of income.”.  . Source of Income. •Salary/ wage (employee/ worker). •Sales/ profit (entrepreneur/ seller). •Dividend (investor). •Interest rate (depositors). •Rent (room/ house). •Pension fund (retirement).  . Source of Income. •Salary/ wage (employee/ worker). •Sales/ profit (entrepreneur/ seller). •Dividend (investor). •Interest rate (depositors). •Rent (room/ house). •Pension fund (retirement).