Question

Fill in the blank with appropriate alternatives given below

 __________ consumption cannot be zero.

Options

• Induced

• Autonomous

• Government

• Private

Answer 1

Autonomous consumption cannot be zero.

Explanation:
Autonomous consumption is the minimum consumption expenditure that an individual incurs irrespective of his income. It is the consumption of basic goods and services i.e consumption of those goods and services that are essential for living. For example, food, medicines, clothes etc. Such a consumption cannot fall to zero as it is essential for survival.