Whats the connection between Income and Consumption?

[Chibson]

This is a very good point. A budget will always guide against excessive spending and help track your spendings. Most young people tend to spend impulsively without planning.

Yeah, when you make a budget it will prevent you from spending irresponsibly. it is only young people that are not disciplined who spend their money irresponsibly. Whenever I get my monthly income I usually share it into different percentages. Some for investment and some for savings and a lot of other things.

 

[tray591]

The connection between income and consumption is you dont just have to use your profit.

Dont consume it and never go into debt.

Sometime I will advice that you go into reinvestment its one of those ways which you can tripple your earning

 

[Hrtbeat]

Yeah, when you make a budget it will prevent you from spending irresponsibly. it is only young people that are not disciplined who spend their money irresponsibly. Whenever I get my monthly income I usually share it into different percentages. Some for investment and some for savings and a lot of other things.

That is quite some effective plan. Having a budget is the right way towards achieving discipline in your business and in your financial life as a whole.

 

[Chibson]

That is quite some effective plan. Having a budget is the right way towards achieving discipline in your business and in your financial life as a whole.

I always try as much as possible to have a budget currently because it will go a long way in saving me a lot of money. Following the budget religiously is something I always do. in order to achieve financial freedom you must be ready to deny yourself certain things.

 

[Syldan]

Actually there is an ideal connection between income and consumption to which income is a determining factor to which consumption takes place. when there is an expectation for income, there will much need for the satisfaction of desire.

 

[Honny143]

The relation between income consumption, if we have no income then the other is useless, I mean if we have income then we purchased any item from market thats called consumption, if any country citizens consumption increase then that country economy also grows.

 

[Danny4cash]

Income is what one is earning while consumption is what is going out of pocket. Economist advice that consumption I must not greater than income. Once the consumption is greater than income, an individual will have problem.

 

[Potuse]

The income and the consumption is directly proportional to each other because the income will determine the amount that you will spend on goods and services. Goods and services are related to consumption.

 

[Billy]

The connection between Income and Consumption is frequently called a consumption schedule. It is utilized to depict monetary patterns in the household sector. When there is more cash or expectation of income, more merchandise are bought by customers. Which means cash is spent on uses, now and again, regardless of whether there isn't sufficient income to cover them. This is a typical financial principle used to portray spending patterns for public and world economies. A business ought to consider the connection among consumption and investment funds to separate information on buyer's patterns inside its own industry.

I totally agree. The connection between income and consumption is simple: when you have more money, you spend more money. It's not always true that you'll spend it all, but a lot of people do.

Some might say that it's not so much about the income as it is about what we expect our future income to be—and that's true, too. But if we're talking about spending patterns, then it's clear that people who earn more also tend to consume more.

 

[greenie]

In economics, scale of preference is term used in place of a consumption schedule. Though they may seem similar but consumption schedule. Scale of preference is cintrusted in accordance to the actual income therefore sidelining some wants is very important. The only difference in this two is the consideration of income. Scale of preference is dependent on income while consumption schedule doesn’t necessarily depend on income.

 

[Syldan]

Actually there is quite a great connection between income and consumption because in the absence of income, consumption will be very difficult so income determined our consumption.

 

[Ronald]

The connection between Income and Consumption is frequently called a consumption schedule. It is utilized to depict monetary patterns in the household sector. When there is more cash or expectation of income, more merchandise are bought by customers. Which means cash is spent on uses, now and again, regardless of whether there isn't sufficient income to cover them. This is a typical financial principle used to portray spending patterns for public and world economies. A business ought to consider the connection among consumption and investment funds to separate information on buyer's patterns inside its own industry.

It's common to refer to the relationship between income and consumption as a consumption schedule and I think more goods are purchased by customers when there is more money or the anticipation of revenue.

 

[Genie011]

The two are closely connected in the sense that the income is what is being utilized for consumptions.
In a business perspective, the higher the consumption the higher the income generated.

 

[UsmanAmoyo]

The two are closely connected in the sense that the income is what is being utilized for consumptions.
In a business perspective, the higher the consumption the higher the income generated.

I agree with you, whenever the consumption is high it automatically means that the sales is high and that is a huge gain to the business owner as the profit multiplies.

 

[Genie011]

I agree with you, whenever the consumption is high it automatically means that the sales is high and that is a huge gain to the business owner as the profit multiplies.

That's it, from the business owner's perspective it is profits.
However from the consumer's perspective it is expenses and it's good to know both.

 

[UsmanAmoyo]

That's it, from the business owner's perspective it is profits.
However from the consumer's perspective it is expenses and it's good to know both.

Definitely, because at some point in time we would in one way or the other find ourselves as any of the above.
In simple terms, we would be consumers or business owners

 

[frederick_9]

The difference between income and consumption is used to define the consumption schedule. When income grows, disposable income rises and thus consumers buy more goods. The result is an increase in the consumption of major purchases and non-essential goods.

 

[Genie011]

The difference between income and consumption is used to define the consumption schedule. When income grows, disposable income rises and thus consumers buy more goods. The result is an increase in the consumption of major purchases and non-essential goods.

I totally agree with you.
Growing income is always associated with growing consumption . And it would be definitely good to the producer because of increase in purchase.

 

[tyrim88]

On a personal basis,the connection with income and expenses is that,onece there is avialability of income and the renenue is constant,there will always be this crave to satisfy the issues that finance needs to address.

 

[Shigobad20201]

Income is then total amount of money you are making daiky or monthly while consumption is the total amount you are spending , and if your income is not stable , your consumption amount will be affected .