Suppose That You Know a Good Is a Normal Good

question 3

Multiple Choice

Suppose that you know a good is a normal good for a consumer.Which of the following can you then conclude to be true:

• A)The own-price elasticity of demand is less than -1.
• B)The income elasticity of demand is greater than 0.
• C)The own-price elasticity of demand is greater than -1.
• D)The income elasticity of demand is less than 0.
• E)Both (a) and (b).
• F)Both (a) and (d).
• G)Both (b) and (c).
• H)None of the above.