Figure 21-17 -Refer to Figure 21-17. When the Price of X Is

question 493

Multiple Choice

Figure 21-17
-Refer to Figure 21-17. When the price of X is $40, the price of Y is $40, and income is $160, Paul's optimal choice is point B. Then Paul's income increases to $320, and his optimal choice is point E. For Paul,

• A)good X is a normal good, and good Y is an inferior good.
• B)good X is an inferior good, and good Y is a normal good.
• C)both good X and good Y are normal goods.
• D)good Y is a normal good; good X is neither a normal nor an inferior good.

---

Definitions:

Conflict Theories

A framework in sociology and social psychology that emphasizes the social, political, or material inequality of a social group, critiquing the broad socio-political system.

Functionalist Theories

A theoretical perspective in sociology that views society as a complex system whose parts work together to promote solidarity and stability, focusing on the societal functions that each part performs.

Global Poverty Debate

A discourse involving differing viewpoints and arguments about the causes, impacts, and solutions to poverty worldwide.

Economic Ideals

Principles or standards of economic behavior that are considered optimal or desirable by a society or individual, often guiding economic policies or personal financial decisions.