Normal and inferior goods are substitutes.

Name: Normal and inferior goods are substitutes.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Normal and inferior goods are not substitutes, as they have different consumer preferences and price elasticities. Normal goods are those that consumers demand more of as their income increases, while inferior goods are those that consumers demand less of as their income increases. Therefore, they are not substitutes as they do not serve the same purpose for consumers.

Normal and Inferior Goods Are Substitutes