If the Demand for a Product Increases Proportionately Faster Than

question 132

Multiple Choice

If the demand for a product increases proportionately faster than the increase in consumers' incomes, then the income elasticity of demand for the product is

• A)zero.
• B)greater than zero.
• C)less than zero.
• D)equal to 1.

---

Definitions:

Motorcycle

A two-wheeled vehicle that is powered by an engine, typically with a capacity for one or two riders.

Selling Price

The amount of money for which a product or service is sold to consumers.

Metal-Cutting

The process of removing metal to form or shape a piece, using various tools and techniques.

Horizontal Band Saw

A type of sawing machine with a band saw blade positioned horizontally, used for cutting materials like metal or wood into precise pieces.