What is autonomous consumption?

Autonomous consumption refers to the portion of total consumption that does not depend on disposable income. This is the amount that a household continues to consume at a minimum even if income is completely eliminated. In such cases, consumption is made possible by drawing on savings or other buffers.

At the macroeconomic level, autonomous consumption represents the amount always consumed regardless of the level of national income.

The concept plays an important role in economic analysis and helps provide insight into consumer behavior independent of income.

Version:
27/9/24