Consumption rate

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The consumption rate describes the share of consumption expenditure in the disposable income of private households . A private household can spend its income on buying goods (consumption) or forego consumption ( saving ). Saving or renouncing consumption leads to capital formation at the same time.


Statistically, one differentiates between the average and the marginal consumption rate as an economic indicator . The average consumption quota relates total consumer spending to total income :


The average consumption rate indicates how much of the national income is used for consumption. The marginal consumption rate indicates how much of an additional unit of national income is used for additional consumer goods purchases.

Marginal consumption rate

The marginal consumption quota (also: marginal consumption inclination, border inclination to consumption), in short , describes the proportion of income that private households in an economy consume in the next additional (marginal) income unit , i.e. H. don't save . It is fundamental to the development of the Keynesian total model and the multiplier .

For example: If a household has an extra euro available and the marginal consumption rate is 0.65, then the household will spend 65 cents of the additional euro and save 35 cents.

The consumption results from the autonomous consumption ( ) and the disposable income (Y) multiplied by the marginal propensity to consume ( ):

The marginal propensity to consume is the derivative of consumption C after income Y.

According to the fundamental psychological law, must be greater than 0 and less than 1. The following applies:

The marginal propensity to consume is the difference between 1 and the marginal propensity to save . This means that money that is not spent on consumption is saved.

The marginal investment quota can be defined analogously for the investments .

See also


Wiktionary: consumption quota  - explanations of meanings, word origins, synonyms, translations
  • Wolfgang Cezanne: Allgemeine Volkswirtschaftslehre , Oldenbourg Wissenschaftsverlag, 6th edition, ISBN 978-3-486-57770-9

Individual evidence

  1. Helmut Wienert, Grundzüge der Volkswirtschaftslehre: Macroeconomics , 2001, p. 56