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Suppose that we survey consumers in 2010 and plot consumption data against age. The resulting cross-sectional profile (the solid line in the graph) is downward-sloping.

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Suppose that we survey consumers in 2010 and plot consumption data against age. The resulting cross-sectional profile (the solid line in the graph) is downward-sloping. Can we conclude that the evidence is inconsistent with prediction by the life-cycle hypothesis that the consumption of each individual is constant? Please elaborate. ( 3 points)

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