Suppose that average incomes increased from $30,000 to $34,000,and the quantity demanded of a product increased from 45 to 55.What type of product must this be?
A)Substitute product.
B)Inferior product.
C)Luxury product.
D)Necessity.
E)Superior product.

Question

Quizplus · Accepted Answer

The increase in income and increase in quantity demanded suggest that the product is a luxury item, as people have more disposable income and are willing to spend it on non-necessities.

Suppose That Average Incomes Increased from $30,000 to $34,000,and the Quantity