Suppose the aggregate consumption function is given by C = 1 000 + 0.75YD,where C is consumption and YD is disposable income.If disposable income increases by $100,aggregate consumption will increase by _____ and autonomous consumption _____.
A) $75;remains at $1 000
B) $1 000;remains at $75
C) $100;increases by $100
D) $175;increases by $100
Correct Answer:
Verified
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