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How does an increase in income affect the demand for an inferior good? - Economics

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प्रश्न

How does an increase in income affect the demand for an inferior good?

Explain with example, what kind of commodity will have an inverse relationship between income and demand.

अति संक्षिप्त उत्तर
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उत्तर

Inferior goods are those which a consumer uses because of a low income level, such as coarse grains and vegetable ghee. As the consumer's income increases, the demand for these inferior goods decreases, and the consumer shifts to superior goods.

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