Turnips Are an Inferior Good

question 61

Multiple Choice

Turnips are an inferior good. If nothing else changes, a rise in the price of turnips causes

• A) a leftward shift in the demand curve for turnips.
• B) a rightward shift in the demand curve for turnips.
• C) a leftward shift in the supply curve of turnips.
• D) a rightward shift in the supply curve of turnips.
• E) none of the above.

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Definitions:

Financial Ruin

A state of having lost a significant portion or all of one’s financial resources or assets, often leading to insolvency.

Trust

The confident belief in the reliability, truth, ability, or strength of someone or something, forming the foundation of relationships in social and business contexts.

Sustainability

The practice of conducting business in a manner that does not compromise the ability of future generations to meet their needs, emphasizing environmental protection, social equity, and economic health.

Social Entrepreneurship

A practice of starting companies and other organizations to develop, fund, and implement solutions to social, cultural, or environmental issues.