The Difference Between Normal and Inferior Goods Is That

question 111

Multiple Choice

The difference between normal and inferior goods is that

• A) an increase in price will shift the demand curve for a normal good rightward and the demand curve for an inferior good leftward.
• B) if the price of a normal good increases, individuals who buy it are poorer; for inferior goods, the opposite is true.
• C) an inferior good is something that will not be demanded until quantities of the normal good have been exhausted.
• D) an increase in income will shift the demand curve for a normal good rightward and the demand curve for an inferior good leftward.

---

Definitions:

Division of Labor

Refers to the allocation of tasks among a set of individuals or groups within an organization, aimed at improving efficiency and productivity.

Boundary-Spanning Subsystem

Components of an organization that interact with the external environment to obtain inputs and distribute outputs, facilitating the exchange of information and resources.

Management and Labor

The two key groups in a workplace, where management is responsible for making decisions and directing operations, and labor refers to the workforce that executes tasks under management's direction.

Chain of Command

A hierarchical structure within an organization to ensure orders and decisions are effectively communicated from top leadership to every employee level.