Human beings make use of economic goods and services in an effort to satisfy their recurring wants while firms while utilize factor inputs in the production process. The purchase of goods and services by these two economic entities that is firms and households constitute consumption at that particular time. Different individuals consume at different level depending the amount of income they earn. The rich are seen to have a higher purchasing power and thus after they adjust their savings and consumption levels, they still consume relatively more than low income earners. The trends of consumption behaviors of all commodities tend ...
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