asked 37.8k views
4 votes
How do consumers’ feelings about the economy help contribute to growth?

asked
User Ebonique
by
7.3k points

2 Answers

2 votes

Answer: Positive consumer attitudes influence spending habits

Explanation: If people love the economy, they will take part in it which in result will activly grow it!

Hope this helped!

answered
User DarkByte
by
8.4k points
1 vote

Answer:

Positive attitude towards the economy affect spending habits of the consumer which in turn leads to economic growth.

Step-by-step explanation:

Consumer's confidence towards the economy and positive attitude will positively affect the spending habits of the consumers.

When consumers spend more, they demand more goods and services. An increase in demand causes the price to increase. An increase in price motivates suppliers to produce more.

Production of more output requires more inputs. So more workers are hired. This causes an increase in employment and income. Increased income will again create more demand. In this way economic growth takes place.

answered
User Kenneth Hoste
by
7.6k points

No related questions found

Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.