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Essay / Economy: Consumer Behavior - 563
As part of the human life cycle, people consume to live. Consumer behavior is one of the main topics in economics. This is an important area of study because consumers are part of the economy and play an important role in the economic growth of a country. In recent years, we have observed that few studies have been carried out on “the demand for economic activities” in relation to the supply (Nelson and Consoli, 2010). However, it is equally important to know the consumption behavior of consumers, especially for policy makers. Individuals' unlimited needs, wants, choices and preferences are the things they consume. Although some of these things can be acquired for free, most still require the consumer to pay for it. Today, everyone has a source of income in one way or another. This income is used to finance their consumption. Income motivates them to work because they know that having a higher income would mean they could afford to support their needs and wants. But how to distribute your income? According to Keynes (...