An Inferior Good Is

question 145

Multiple Choice

An inferior good is:

• A)one whose demand curve will shift rightward as incomes rise.
• B)one whose price and quantity demanded varies directly.
• C)one which has not been approved by the federal Ministry of Agriculture.
• D)one whose demand curve will shift leftward as income rise.

---

Definitions:

Securities

Financial instruments that represent an ownership position in a publicly-traded corporation (stock), a creditor relationship with a governmental body or a corporation (bond), or rights to ownership as represented by an option.

Commercial Bank

A financial institution that provides services such as accepting deposits, providing business loans, and offering basic investment products.

Federal Reserve Bank

The central banking system of the United States, responsible for monetary policy, regulation of the banking industry, and maintaining stability of the financial system.

Money Supply

The full total of economic financial assets available at a certain moment in an economy.