QUESTION 4 Which of the following empirical ndings suggest that individuals in the U.S. smooth consumption? A an average American's income goes up and then down over the life cycle, while their consumption does not change B. for an average American, the magnitude of income growth and decline over the life cycle exceeds the magnitude of consumption growth and decline C. American's increased their consumption after receiving stimulus checks in 2008 D. the real income ofa median worker has barely increased since the |98lls QUESTION 5 What accounts for the difference between gross and net investment? A. depreciation B. depopulatinrn C. net exports D. government spending QU ESTI DN 6 Which of the following statements is false? A. investment uctuates more over the business cycle than consumption B. investment uctuates more over the business cycle than GDP C. investment fluctuates less over the business cycle than consumption D. investment increases during booms and falls during recessions