The short-run model makes use of the , which assumes that private consumption expenditure is sensitive to changes in current income.



Keynesian consumption function

Explanation:

A consumption function simply talks about the relationship that exists between consumption expenditure and disposable income.

Keynesian consumption function tells or depict through a formula the existing and functioional relationship that occurs usually between total consumption and gross national income.

answer; i believe the correct answer is (a) purchase of treasury stock;