Shawna Wins the Lottery and Her Income Increases by 60

question 98

Multiple Choice

Shawna wins the lottery and her income increases by 60%. She used to buy 10 pints of cottage cheese per month and now she buys 12 pints. Her income elasticity of demand for cottage cheese is , making it a(n) good.

• A) 3; luxury
• B) 3.59; normal
• C) 0.33; necessity
• D) 0.28; inferior
• E) -0.33; inferior

---

Definitions:

Split-half Reliability

A measure of consistency where a test is divided into two parts, and the scores on both halves are compared.

Split-half Reliability

A measure of consistency where a test is divided into two parts, and the scores on both halves are compared to assess the test's reliability.

Curvilinear Relationship

A relationship in which changes in the values of the first variable are accompanied by both increases and decreases in the values of another variable.

Discriminant Validity

The construct validity of a measure is assessed by examining the extent to which scores on the measure are not related to scores on conceptually unrelated measures.