The components of consumption function are: Option 1: Marginal propensity to consume and average propensity to consume Option 2: Autonomous consumption and autonomous investment Option 3: Induced consumption and autonomous investment Option 4: Autonomous consumption and Induced consumption

The answer is 'Autonomous consumption and Induced consumption'. View full solution:

CUET Economics - The components of consumption function are: | PYQs + Solutions

CUET Economics 2026 23rd May Shift 1

Macro

Easy

Marginal propensity to consume and average propensity to consume

Autonomous consumption and autonomous investment

Induced consumption and autonomous investment

Autonomous consumption and Induced consumption

✅ Correct Option: 4