If a good is a Giffen good, then
A)the supply curve is downward sloping.
B)the demand curve is upward sloping.
C)the demand curve is horizontal.
D)there is no optimal level of consumption for the consumer.

Question

Quizplus · Accepted Answer

Giffen goods are a rare type of inferior goods for which demand increases as the price increases, which leads to an upward-sloping demand curve. This is contrary to the typical law of demand.

If a Good Is a Giffen Good, Then