An inferior good is a good that
A) is demanded by the average customer.
B) is reliable.
C) lasts a good length of time.
D) has an income elasticity that is negative.

Name: An inferior good is a good that A) is demanded by the average customer. B) is reliable. C) lasts a good length of time. D) has an income elasticity that is negative.
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Question

Quizplus · Accepted Answer

Inferior goods are characterized by having a negative income elasticity of demand, meaning that as consumers' income increases, the demand for these goods decreases.

An Inferior Good Is a Good That