Question

discuss the properties of absolute income hypothesis

Answer 1

Answer:

Absolute Income Hypothesis: Keynes' consumption function has come to be known as the 'absolute income hypothesis' or theory. ... He said that consumption is a stable function of current income (to be more specific, current disposable income—income after tax payment).

Answer 2

Absolute Income Hypothesis: Keynes' consumption function has come to be known as the 'absolute income hypothesis' or theory. ... He said that consumption is a stable function of current income (to be more specific, current disposable income—income after tax payment