19. Which of the following is true about income elasticity? explain A. Income elasticity refers to the response of the consumers in changing the amount of the good purchased when his income changes B. When the income elasticity is positive, the good is a normal good C. When the income elasticity is negative, the good is an inferior good D. Pork can be considered a normal good at a relatively low income but it can be considered an inferior good at a relatively higher income E. All are correct

19. Which of the following is true about income elasticity? explain A. Income elasticity refers to the response of the consumers in changing the amount of the good purchased when his income changes B. When the income elasticity is positive, the good is a normal good C. When the income elasticity is negative, the good is an inferior good D. Pork can be considered a normal good at a relatively low income but it can be considered an inferior good at a relatively higher income E. All are correct

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter5: Elasticity

Section: Chapter Questions

Problem 31CTQ: Economists define normal goods as having a positive income elasticity. We can divide normal goods...

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