As Mary's income increases by 20 percent, her demand for tickets to National Hockey League games increases by 10 percent. Mary's demand for tickets is income ________; for Mary, hockey tickets are ________ good.
A) elastic; a normal
B) inelastic; a normal
C) elastic; an inferior
D) inelastic; an inferior

Question

Quizplus · Accepted Answer

Mary's demand for tickets is income inelastic because the percentage increase in demand (10%) is less than the percentage increase in income (20%). Since her demand increases with income, hockey tickets are a normal good for Mary.

As Mary's Income Increases by 20 Percent, Her Demand for Tickets