If a Good Has a Negative Income Elasticity of Demand

question 119

Multiple Choice

If a good has a negative income elasticity of demand, this indicates that the good is

• A)a substitute with another good.
• B)a complement with another good.
• C)inferior.
• D)normal.

---

Definitions:

Value Creation

The process through which businesses or organizations produce goods or services that are worth more than the cost of the inputs involved.

Customer Appeal

The attractiveness of a product or service to potential and existing customers, often influencing their purchasing decisions.

Just-in-time Scheduling

A strategy used in manufacturing and production that aligns raw-material orders from suppliers directly with production schedules to reduce inventory costs.

Lazy Managers

Describes managers who avoid work and responsibilities, often causing inefficiency and dissatisfaction within the team or organization.