In each of the following instances, determine whether the good is normal or inferior, and whether it

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In each of the following instances, determine whether the good is normal or inferior, and whether it is income‐elastic or income‐inelastic.
a. If income increases by 10 percent and the quantity demanded of a good increases by 5 percent, the good is ______ and ______.
b. If income increases by 10 percent and the quantity demanded of a good decreases by 20 percent, the good is ______ and ______.
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Microeconomics

ISBN: 978-1259163531

1st edition

Authors: Dean Karlan, Jonathan Morduch

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