If a Good Is Inferior, Then the Income Elasticity of Demand

question 171

Multiple Choice

If a good is inferior, then the income elasticity of demand for that good is

• A)positive and greater than 1
• B)negative
• C)positive and less than 1
• D)0
• E)perfectly elastic

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Definitions:

White Wines

Wines that are made from the fermentation of the non-coloured pulp of grapes, which can be green, yellowish, or golden.

Smallest IQR

The smallest range between the first and third quartiles in a dataset, indicating the tightest concentration of the middle half of the data.

Reaction Time

The time elapsed between the presentation of a stimulus and the subsequent response to it.

Gas Pedal

A device in vehicles that controls the engine's speed, increasing acceleration when pressed.