If the Income Elasticity of Demand for a Good Is

question 122

Multiple Choice

If the income elasticity of demand for a good is negative, this implies that

• A) only the poor will buy the good.
• B) as incomes fall, less will be spent on the good.
• C) as incomes rise, the demand for the good will fall.
• D) the good does not obey the law of demand.

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Definitions:

Resistors

Electronic components designed to introduce a specific amount of resistance to an electrical current, used in circuits to manage current flow.

Inductance

A property of an electrical conductor by which a change in current flowing through it induces an electromotive force both in itself (self-inductance) and in nearby conductors (mutual inductance).

Capacitors

Components in electrical circuits that store and release electrical energy, characterized by their capacitance value, which measures the ability to store charge per voltage unit.

Poles

In electrical engineering, the term refers to the individual magnetic or electrical points that create fields within devices such as motors, or represent the terminals of a battery or generator.