Read the following statements - |
Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A). Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A). Assertion (A) is true but Reason (R) is false. Assertion (A) is false but Reason (R) is true. |
Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A). |
Even if income is 0, some consumption still takes place. This is the autonomous consumption, which is independent of income. For example: basic necessities of life like food, clothing etc. C = c + bY, Here "c" is the autonomous consumption. |