Induced expenditure includes ________.

Question

Quizplus · Accepted Answer

Induced expenditure refers to the expenditure that is a result of changes in a country's income level, such as induced consumption expenditure and imports. Autonomous expenditure, on the other hand, is independent of income and includes government expenditure, investment, and exports. Therefore, option B is the best choice as it correctly identifies induced expenditure as induced consumption expenditure and imports while leaving out autonomous expenditure.

Induced Expenditure Includes ________