A Giffen good can be explained as a good for which an increase in the price
A)decreases the quantity supplied.
B)increases the quantity supplied.
C)decreases the quantity demanded.
D)increases the quantity demanded.

Question

Quizplus · Accepted Answer

A Giffen good is a type of inferior good for which an increase in price leads to an increase in quantity demanded, due to the income effect outweighing the substitution effect.

A Giffen Good Can Be Explained as a Good for Which