If an increase in income leads to a decrease in the demand for a good, then the good is said to be:
A) normal.
B) a luxury.
C) inferior.
D) a staple.

Name: If an increase in income leads to a decrease in the demand for a good, then the good is said to be: A) normal. B) a luxury. C) inferior. D) a staple.
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Question

Quizplus · Accepted Answer

An inferior good is one for which demand decreases as income increases, as consumers opt for more expensive alternatives.

If an Increase in Income Leads to a Decrease in the Demand