An inferior good is one in which
a. the average consumer chooses not to consume.
b. the good is not equally valued by all consumers.
c. an increase in income increases consumption of the good.
d. an increase in income decreases consumption of the good.
d
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For a linear demand curve
A. elasticity is constant along the curve. B. elasticity is unity at every point on the curve. C. demand is elastic at high prices. D. demand is elastic at low prices.
Refer to Figure 3.1. If Marge and Homer both confess to the crime, what is Marge's payout?
A) 1 year B) 2 years C) 7 years D) 15 years
Compared with inter-regional trade in the he United States, intra-EU trade
A) is far greater. B) is greater. C) is about the same. D) is less. E) is far less.
If the demand for good A is more elastic than the demand for good B, a small decrease in supply in both markets will cause
a. a much greater increase in price for good A than for good B b. a much greater increase in price for good B than for good A c. the price will increase by the same amount in both markets d. only the price of good B will increase e. only the price of good A will increase