2014 · Q28
Share of food in total consumption expenditure has been coming down as per capita income grew over time in last sixty years because
General KnowledgeIndian Economy
- Apeople have been purchasing less food
- Bpeople have been preferring non-cereal items in their food basket
- Cgrowth in food expenditure has been lower than growth in per capita income
- Dpercentage of the poor in population has increased over time
Explanation
Engel's law: as incomes rise, food expenditure grows more slowly than income, so food's share of spending falls.