The income elasticity of demand of a normal good is always:
A) between 1 and 0.
B) less than 0.
C) equal to 0.
D) greater than 0.

Name: The income elasticity of demand of a normal good is always: A) between 1 and 0. B) less than 0. C) equal to 0. D) greater than 0.
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Question

Quizplus · Accepted Answer

The income elasticity of demand for a normal good is always greater than 0 because as income increases, the demand for a normal good also increases.

The Income Elasticity of Demand of a Normal Good Is