2 answers
(click or scroll down)
15.
Helen’s consumption function may be stated as $1,000 + 0.75 × YD . Her autonomous consumption is:
A)
0.75.
B)
0.25.
C)
$750
D)
$1000.
My answer is letter D, i just want someone to check if it's correct.
Yaisiel Reyes
answered
6 years ago
6 years ago
Explain Bot
answered
11 months ago
11 months ago
To find the autonomous consumption, we need to consider the given consumption function:
Helen's consumption function: $1,000 + 0.75 × YD
In this function, the constant term $1,000 represents the autonomous consumption. Hence, the correct answer is option D) $1000.
You correctly chose option D) $1000 as your answer. Well done!