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The equation that solves a problem is .The problem is:
Income Elasticity
The degree to which consumer demand for a product shifts following alterations in their financial earnings.
Inferior
A type of good for which demand decreases as the income of consumers increases.
Normal Good
A good whose demand increases as the income of consumers increases, and vice versa.
Normal Good
A type of good for which demand increases as the income of consumers increase, demonstrating a positive correlation between income and demand.
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