CONSUMPTION SMOOTHING Definition

Bookmark and Share

CONSUMPTION SMOOTHING is aimed at protecting consumption patterns from the impact of shocks, and can take effect either before or after their occurrence. Post-shock responses include modifying consumption, raising income by mobilizing labor or selling assets, drawing on informal or formal sources of savings, or activating claims on informal insurance mechanisms.

Learn new Accounting Terms

BUDGETING is the documenting of intended expenditures over a specified time period (normally one year) along with proposals for how to meet them. See also ZERO BASED BUDGET.

FORINT is a currency of Hungary.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.