12. How do people's incomes compare to their
needs and wants?

People spend according to their income.

Explanation:

People fulfill their  needs and desire according to their income. People who has high income spend a lot on their needs and luxurious items while on the other hand, the people who are poor and has low income they are able to fulfill their needs only not their wants or desire. So we can say that people spend on their needs and desires according to their income.