Use the figure below to answer the following questions.
Figure 11.3.1
The economy shown in the graph does not engage in international trade and has no government.Planned aggregate expenditure equals the sum of consumption expenditure C) and investment I).
-Refer to Figure 11.3.1.Autonomous expenditure equals
A)$25 billion.
B)$100 billion.
C)$200 billion.
D)$50 billion.
E)$125 billion.

Question

Use the figure below to answer the following questions.
  Figure 11.3.1
The economy shown in the graph does not engage in international trade and has no government.Planned aggregate expenditure equals the sum of consumption expenditure C) and investment I).
-Refer to Figure 11.3.1.Autonomous expenditure equals
A)$25 billion. 
B)$100 billion. 
C)$200 billion. 
D)$50 billion. 
E)$125 billion.

Quizplus · Accepted Answer

Autonomous expenditure is the amount of spending that is independent of income level. In the graph, autonomous expenditure is represented by the horizontal line at $50 billion.

Use the Figure Below to Answer the Following Questions