9- What could be the reason of shifting of consumption line upward from 1 to 3 as it is plotted in the Graph?C'= C+c Y.C,(Consumption)C= Co + c Yd(initial stage)23 Cl"= C + c Y4SaCoYd (Income)a)An increase in marginal propensity to consumeb)An increase in autonomous consumptionc)A decrease in autonomous consumptiond)A decrease in Incomee)An increase in Income

An increase within the level of consumption at each level of disposable income shifts the…

What could be the reason of shifting of consumption line upward from 1 to 3 as it is plotted in the Graph? C'E C'+c Y4 C, (Consumption) C= Co + c Yd (initial stage) 2 3 C"= C +c Ya Co Ja a Yd (Income)

What could be the reason of shifting of consumption line upward from 1 to 3 as it is plotted in the Graph? C'E C'+c Y4 C, (Consumption) C= Co + c Yd (initial stage) 2 3 C"= C +c Ya Co Ja a Yd (Income)

ENGR.ECONOMIC ANALYSIS

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ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

9- What could be the reason of shifting of consumption line upward from 1 to 3 as it is plotted in the Graph?
C'= C+c Y.
C,(Consumption)
C= Co + c Yd
(initial stage)
2
3 Cl"= C + c Y4
Sa
Co
Yd (Income)
a)
An increase in marginal propensity to consume
b)
An increase in autonomous consumption
c)
A decrease in autonomous consumption
d)
A decrease in Income
e)
An increase in Income

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