Question #1: Define and discuss consumption and its importance to the U.S. economy. What factors influence consumption? How does consumer confidence affect the level of Personal Consumption Expenditures? What is the current level of Personal Consumption Expenditures in the U.S.? . What is the current consumer confidence index? Do you believe that the consumer will continue to spend at levels shown in the recent past? Why or why not? Consumption is, by definition, the goods …showed first 75 words of 1358 total…

…showed last 75 words of 1358 total…activity because they act as a success tax, claiming a larger share of income from flourishing enterprises, while the government shares little of the risk of loss. For most entrepreneurs, income taxes reduce their companies' cash flow, the money businesses need to expand, buy more equipment, and hire more workers. To ensure continued success, the tax system should be revised periodically but continue to be considered at a lower percentage than the previous 4o percent.