Question

I’m figure 9.2 at any point to the left of point b: autonomous consumption is less than zero saving occurs disposable income is negative consumption is greater than disposable income

Answer 1

To the left of point B in Figure 9.2, saving occurs as consumption is less than disposable income, indicating positive savings.

In Figure 9.2, at any point to the left of point B:

Saving occurs: To the left of point B on the consumption function, the level of consumption is less than the level of disposable income. The gap between the consumption function and the 45-degree line represents saving, as individuals are not spending all of their income.

Q- In Figure 9.2, at any point to the left of point B:Group of answer choices autonomous consumption is less than zero. saving occurs. disposable income is negative consumption is greater than disposable income. autonomous consumption is zero.