The demand for an inferior good _____.
A) is very low as these goods are generally of a lower quality
B) decreases as the consumer's income increases
C) is very high since these goods have few substitutes
D) increases as the price of the good increases

Question

Quizplus · Accepted Answer

Inferior goods are those for which demand decreases as consumer income increases, because consumers typically prefer more expensive alternatives as their purchasing power grows.

The Demand for an Inferior Good _____