There remains the second category of factors which affect the amount of consumption out of a given income—namely, those subjective and social incentives which determine how much is spent, given the aggregate of income in terms of wage-units and given the relevant objective factors which we have already discussed. Since, however, the analysis of these factors raises no point of novelty, it may be sufficient if we give a catalogue of the more important, without enlarging on them at any length.

There are, in general, eight main motives or objects of a subjective character which lead individuals to refrain from spending out of their incomes:

1. (i) To build up a reserve against unforeseen contingencies;

2. (ii) To provide for an anticipated future relation between the income and the needs of the individual or his family different from that which exists in the present, as, for example, in relation to old age, family education, or the maintenance of dependents;

3. (iii) To enjoy interest and appreciation, i.e. because a larger real consumption at a later date is preferred to a smaller immediate consumption;

4. (iv) To enjoy a gradually increasing expenditure, since it gratifies a common instinct to look forward to a gradually improving standard of life rather than the contrary, even though the capacity for enjoyment may be diminishing;

5. (v) To enjoy a sense of independence and the power to do things, though without a clear idea or definite intention of specific action;

6. (vi) To secure a masse de manœuvre to carry out speculative or business projects;

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