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प्रश्न
If a good is inferior good, then purchases of that good will decrease when ______.
विकल्प
The supply of it increases
Population increases
Income increases
The price of a substitute rises
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उत्तर
If a good is inferior good, then purchases of that good will decrease when income increases.
Explanation:
For an inferior good, as income increases, consumers typically reduce their purchases of that good and instead buy more expensive or higher-quality alternatives.
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संबंधित प्रश्न
Briefly explain any two reasons for the occurrence of the law of demand.
The Law of Demand was introduced by ______.
Increase in demand is caused by
If with the rise in price of good Y, demand for good X rises, the two goods are:
Giffen goods are richman's goods
If prices of cars rise, many people may put off buying a new car. So the demand for petrol will fall.
Pick the option which does not belong to the group:
According to the Law of Demand, what happens when the price of a commodity decreases, assuming no other factors change?
Which of the following is NOT an assumption of the Law of Demand ?
Why does the demand curve always slope downwards?
