Autonomous consumption is
A) the change in consumption that results as a person's (or nation's)income increases or decreases.
B) that portion of total consumption that is dependent upon the level of income.
C) the steady increase in the consumption of goods and services that automatically occurs as a person grows from a child to an adult.
D) that portion of total consumption that is independent of the level of income.

Question

Quizplus · Accepted Answer

Autonomous consumption is that part of total consumption which is independent of the level of income. It is the minimum level of consumption that a person or a nation must maintain even if they have no income. Examples of autonomous consumption include spending on basic necessities like food, shelter, and clothing.

Autonomous Consumption Is