Economics (AS & A Level) · Oct / Nov 2024 · Paper 33 · Question 19
9708The circular flow of income
Households in an economy change their consumption behaviour causing the consumption curve to shift from C1 to C2. What has happened to autonomous consumption and the marginal propensity to consume?
- Adecreased; decreased
- Bdecreased; increased
- Cincreased; decreased
- Dincreased; increased
As printed in the paper
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Correct answer: C. increased; decreased
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