For a normal good, the income elasticity of demand _____.
A) is equal to -1
B) lies between 0 and -0.5
C) is equal to -∞
D) is above 0

Name: For a normal good, the income elasticity of demand _____. A) is equal to -1 B) lies between 0 and -0.5 C) is equal to -∞ D) is above 0
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Question

Quizplus · Accepted Answer

For a normal good, the income elasticity of demand is positive, indicating that as income increases, the demand for the good increases as well.

For a Normal Good, the Income Elasticity of Demand _____