state gov Kerala PSC Degree (Common Preliminary Examination) Mock Test Series 2025 General Knowledge Economy Money and Banking
Consider the following statements with reference to the Autonomous Expenditure:
1. An autonomous expenditure describes the components of an economy's aggregate expenditure that are impacted by that same economy's real level of income.
2. Most government spending is considered autonomous expenditure because it is necessary to run a nation.
3. External factors, such as interest rates and trade policies, affect autonomous expenditures.
How many of the above statements are correct?
1
Only one
2
Only two
3
All three
4
None