Mbombo, also known as Bumba or Mbongo, is the god of creation in the religion and mythology of...
2016-07-10T02:34:35-04:00. The answer to the question above is letter C. The income that is not used for consumption is called a SAVINGS. Saving consist of the amount left over when the cost of a person's consumer expenditure is subtracted from the amount of disposable income he or she earns. This question is archived.
Ideally, a consumption tax would only tax goods or services when consumed while leaving savings alone. Income tax, however, does tax savings because revenues are raised not only from labor (wages or salaries), but also from capital (interest, dividends, capital gains).ecause a consumption tax only taxes consumption, the good or service being consumed is largely irrelevant in reference to the allocation of resources. An income tax, however, creates a barrier between the value of a personâs labor (how much they earn from working) and what they actually receive (money after taxes).