Theories of Consumption

University of Calicut

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  • Theories of Consumption

  • Class notes • 9 pages • 2021
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  • Absolute Income Hypothesis - Keynes Secular Stagnation Hypothesis Kuznets Findings The Relative Income Hypothesis- Duesenberry Demonstration Effect Ratchet Effect The Permanent Income Hypothesis (PIH) - Milton Friedman Relationship between Consumption and Permanent Income The Life Cycle Hypothesis
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