If an Increase in Income Leads to an Increase in the Demand

question 39

Multiple Choice

If an increase in income leads to an increase in the demand for a good, then the good is said to be:

• A) normal.
• B) a luxury.
• C) inferior.
• D) a staple or necessity.

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Definitions:

Culture

A collection of common beliefs, objectives, conventions, and behaviors that define a group, organization, or institution.

Cross-Cultural Communication

The process of exchanging information and ideas between individuals from different cultural backgrounds.

Tolerance

The capacity to accept or endure differences, opinions, or behavior without agreement or objection.

Ethnocentrism

The belief in the inherent superiority of one's own ethnic group or culture.