If an Increase in Income Results in a Decrease in the Quantity

question 200

Multiple Choice

If an increase in income results in a decrease in the quantity demanded of a good,then for that good,the

• A)cross-price elasticity of demand is negative.
• B)price elasticity of demand is elastic.
• C)income elasticity of demand is negative.
• D)income elasticity of demand is positive.

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Definitions:

Experimental Statistical Study

A research method involving the manipulation of one variable to determine if changes in one variable cause changes in another variable.

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A bacterial infection causing a thick covering in the back of the throat, which can lead to breathing difficulties, heart failure, paralysis, or death.