Your list · 0 हिं

Aggregate Demand, Consumption & Saving · Question 14 of 60

Question 14

MediumOriginal question

The consumption function is C = 50 + 0.8Y. When income is ₹500 crore, consumption is

₹50 croreCorrect answerYour answer₹400 croreCorrect answerYour answer₹450 croreCorrect answerYour answer₹550 croreCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer C

Correct answer: C

C = 50 + 0.8 × 500 = 50 + 400 = ₹450 crore.

Concept: Using the consumption function
Typical timeTypical: 70 s
Your timeYours: —

The rule this testsThe consumption function

Practise this chapter →

Ten questions from Aggregate Demand, Consumption & Saving, at your own pace.

Practise this chapter →

Ten questions from Aggregate Demand, Consumption & Saving, at your own pace.

Practise this chapter All 60 questions in Aggregate Demand, Consumption & Saving Revise the notes for Aggregate Demand, Consumption & Saving