if the income of an individual consumer decreases and the demand of a particular good increses, will the good be a normal or an inferior good for the individual?
Dear Student,
If the income of an individual consumer decreases and the demand of a particular good increases, then the good is inferior. This is because demand for inferior goods shares negative relationship with consumer's income.
All the best for your exams!!
If the income of an individual consumer decreases and the demand of a particular good increases, then the good is inferior. This is because demand for inferior goods shares negative relationship with consumer's income.
All the best for your exams!!