Which of the following statements is true?
A) Leisure is a normal good.
B) Leisure is an inferior good.
C) All other things unchanged, an increase in income will decrease the demand for leisure.
D) The demand for leisure is perfectly inelastic.

Question

Quizplus · Accepted Answer

Leisure is considered a normal good because as income increases, people tend to demand more leisure time. As they have more money, they are able to spend more on leisure activities and can afford to take more time off work to enjoy those activities.

Which of the Following Statements Is True