ECS 1601 Exam Pack
University of South Africa
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ECS 1601 Study Notes
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---63oktober 20212021/2022A+
- ECS 1601 
Study Notes 
Relationship between consumption and income 
Figure 18-2 Autonomous and induced consumption 
C 
C=C₁ + cY 
 C₁ 
 0 Y 
The shaded area represents autonomous consumption while the remainder of the area under the 
consumption function represents induced consumption. Autonomous consumption is independent of 
the level of income, while induced consumption increase as income increases. Autonomous 
consumption changes as result of a change in one of the non-income determinant...
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ECS 1601 - ECONOMICS 1B - 2019 EXAM PACK
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---330oktober 20212021/2022A+
- EXAM QUESTION PAPERS AND 
SOLUTIONS 
FOR THE PAST 5 YEARS 
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TO 
NOVEMBER 2018 
EXAM SOLUTIONS 
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1 
MEMORANDUM 
ECS1601 Oct 2018 
SECTION A [50 marks] 
QUESTION 1 (9) 
1.1 Name the main instruments of fiscal policy. (3) 
Government spending√√ 
Taxation√ 
(2 marks for first instrument, 1 mark for second instrument) 
1.2 Name four main functions of the South African Reser...
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ECS 1601 EXAM PACK
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---65oktober 20212021/2022A+
- ECS 1601 
OCTOBER/NOVEMBER 2016 SOLUTIONS. 
SECTION A COMPULSORY ESSAY QUESTIONS 
QUESTION 1: 
1(a) BRIEFLY EXPLAIN DEMAND MANAGEMENT POLICIES 
AND HOW THEY CAN BE USED IN THE ECONOMY (3) 
There are two policies that can be used to manage the demand for goods and 
services 
(i) The Fiscal policy (Government): The two main instruments that the government 
can use to manage the demand for goods and services are government spending 
the taxes Expansionary/Stimulatory policy: Increase Government...
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