Which statement is FALSE?
A) If the income elasticity of demand is positive, a good is normal.
B) If the income elasticity of demand is negative, a good is inferior.
C) The income elasticity of demand measures the responsiveness of quantity demanded to changes in consumers' incomes.
D) The income elasticity of demand measures the responsiveness of consumers' incomes to changes in quantity demanded.
Correct Answer:
Verified
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