Asked by
Mazan Rumthao
on Oct 09, 2024
Verified
If Z is an inferior good,an increase in money income will shift the:
A) supply curve for Z to the left.
B) supply curve for Z to the right.
C) demand curve for Z to the left.
D) demand curve for Z to the right.
Inferior Good
A type of good for which demand decreases as the income of consumers increases, opposite to normal goods.
Money Income
The complete sum of financial gains accrued by a person or a family unit, encompassing earnings from employment, benefits, and returns on investments.
Demand Curve
A graph showing the relationship between the price of a product and the quantity of the product demanded at those prices.
- Comprehend the repercussions of income fluctuations on consumer actions and the demand for diverse goods, encompassing both normal and inferior goods.
- Examine the impact of external variables such as fluctuations in the prices of related goods and income levels on product demand.
Verified Answer
MR
Learning Objectives
- Comprehend the repercussions of income fluctuations on consumer actions and the demand for diverse goods, encompassing both normal and inferior goods.
- Examine the impact of external variables such as fluctuations in the prices of related goods and income levels on product demand.