consumption function


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consumption function

a statement of the general relationship between the dependent variable, CONSUMPTION EXPENDITURE, and the various independent variables that determine consumption, such as current DISPOSABLE INCOME and income from previous periods and WEALTH. See CONSUMPTION SCHEDULE, LIFE-CYCLE HYPOTHESIS, PERMANENT-INCOME HYPOTHESIS, WEALTH EFFECT.
Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005
References in periodicals archive ?
(3) For C-D consumption function ([phi] = 1), the limit docs not exist: [mathematical expression not reproducible] while [mathematical expression not reproducible].
Friedman, A Theory of the Consumption Function, Princeton, N.J., Princeton University Press, 1957; J, Poterba, "Is the Gasoline Tax Regressive?" in Tax Policy and the Economy, 5, pp.
Suppose the value function, V (a), is a polynomial of degree n and the consumption function, c (a), is of degree [n.sub.c].
Throughout the drive cycle [0 : T] of PHEV power systems, it assumes that ICE energy consumption function Qc is
Friedman, M., (1957), 'The Permanent Income Hypothesis', in A Theory of the Consumption Function, NBER books, Princeton University Press, pp.
Keynes contemplated a consumption function based on introspection and casual observations.
Recognizing that the Keynesian model has largely captured the imagination of the economics profession and been integrated with classical economics into what Paul Samuelson calls the "neo-classical synthesis," Garrison brilliantly created a series of diagrams to demonstrate the relationship between the time structure of production, Hayekian triangles, and standard "neo-classical" models, including the production-possibility frontier, the loanable funds market, the IS--LM curve, and the Keynesian consumption function (Garrison 2001).
A cornerstone of the consumption function is lifelong consumption, suggesting that people tend to maintain a level of consumption over their lifetime based on anticipated income.
They formulate the following consumption function with a heteroskedastic specification:
Brumberg, 1954, "Utility Analysis and the Consumption Function: An Interpretation of Cross-section Data," in Kenneth K.
In Brazil, it is higher than the critical value in the energy consumption and exports equations, while in Cote d'Ivoire it is only higher than the critical value in the energy consumption function. This, therefore, implies that the cointegrating vectors are y/N in the case of Uruguay and Brazil, ENC in the case of Ghana and Cote d'Ivoire, and Expt in the case of Brazil and Ghana.
As discussed in the second section, in a given channel state, since the energy consumption function is a convex function when z packets are transmitted, there must exist an optimal solution to this problem [17].