When Beau's income increases, they buy more books and fewer cups of coffee. Based on this information, we can conclude that Beau considers coffee to be:

Question

Quizplus · Accepted Answer

When Beau's income increases and they buy fewer cups of coffee, it indicates that coffee is considered an inferior good by Beau. Inferior goods are those for which demand decreases as the consumer's income increases.

When Beau's Income Increases, They Buy More Books and Fewer