Two minute noodles are a staple food item for many university students. Two minute noodles are very inexpensive, easy to prepare, and can be combined easily with other foods. After students graduate, find employment and earn a higher income, they decrease their two minute noodle purchases significantly. In this case, two minute noodles are

Question

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Two minute noodles are considered an inferior good because as income increases, demand for them decreases. This is because consumers switch to higher quality and more expensive foods, indicating that two minute noodles are perceived to be of lower quality and associated with a lower income bracket.

Two Minute Noodles Are a Staple Food Item for Many