If a good is inferior in an economic sense:
A) it is demand price elastic.
B) it is demand price inelastic.
C) the income elasticity of demand is negative.
D) it is a low-quality good.
E) it is not the highest quality good in its class.

Question

Quizplus · Accepted Answer

An inferior good is a good for which demand decreases as income increases, resulting in a negative income elasticity of demand.

If a Good Is Inferior in an Economic Sense