CUET Economics - Figure out the correct statement with respect to consumption function of an economy. | PYQs + Solutions

CUET Economics 2026 19th May Shift 2

Macro

Easy

It assumes that consumption changes at a constant rate as investment changes.

The level of consumption independent of income is called autonomous consumption.

When income changes, change in consumption can exceed the change in income.

Consumer has to change necessarily the consumption level when income changes.

✅ Correct Option: 2

Related questions:

13 May Shift 2

Match List-I with List-II

List-I	List-II
(A) Marginal propensity to consume	(I) Change in savings per unit change in income.
(B) Marginal propensity to save	(II) Savings per unit of income.
(C) Average propensity to consume	(III) Change in consumption per unit change in income.
(D) Average propensity to save	(IV) Consumption per unit of income.

Choose the correct answer from the options given below:

11th May Shift 1

If the investment is increased by 2 lacs and the value of the investment multiplier is 3/2 then what will be the value of change in income?

15th May Shift 1

Identify the variable on which the overall level of employment and prices in the economy depends upon?

CUET Economics 2026 19th May Shift 2 PYQs