Because the income elasticity of food demand is low,we expect an increase in income to result in
A)A significant increase in the quantity of food demanded.
B)A very slight increase in the quantity of food demanded.
C)A very slight decrease in the quantity of food demanded.
D)A significant decrease in the quantity of food demanded.

Question

Quizplus · Accepted Answer

The income elasticity of food demand is low, which means that a change in income will result in a relatively small change in the quantity of food demanded. Therefore, we can expect a very slight increase in the quantity of food demanded with an increase in income.

Because the Income Elasticity of Food Demand Is Low,we Expect