Any increase in autonomous consumption is associated with:
A)an equivalent increase in autonomous saving.
B)an equivalent decrease in autonomous saving.
C)an equivalent increase in the slope of the saving function.
D)an equivalent decrease in the slope of the saving function.
E)an equivalent movement along the saving function.

Question

Quizplus · Accepted Answer

An increase in autonomous consumption reduces the amount of income available for saving, leading to a decrease in autonomous saving.

Any Increase in Autonomous Consumption Is Associated With