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Wealth effect

The wealth effect is the change in spending that accompanies a change in perceived wealth. Usually, the wealth effect is positive: spending changes in the same direction as perceived wealth.

Economy & Companies

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Effect on individuals

13 related topics

In macroeconomics

4 related topics

Overview

1 related topics

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Overview

Effect on individuals

In macroeconomics

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Wealth effect

Nodes22
Edges21
Triples1
Avg. degree1.91
Density0.090909
Components1

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Wealth effect

Top relations

is a · 1
Wealth effect → change in spending that accompanies a change in perceived wealth

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Important terminology

wealth effect consumption real demand example changes spending perceived stock home decrease may relative supply change macroeconomics see also amounts

Entity relationships Subject–Predicate–Object triples

SubjectPredicateObjectConfidenceSrc
Wealth effectis achange in spending that accompanies a change in perceived wealth0.90text

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