Question
An increase in the price of a good reduces the quantity of that good that Megan consumes by a small amount. If the change in
An increase in the price of a good reduces the quantity of that good that Megan consumes by a small amount. If the change in the Hicksian (compensated) demand of the good was larger than the reduction in the quantity that Megan consumes, then the good is
A) a normal good.
B) a necessary good.
C) a luxury good.
D) an inferior good.
E) an abnormal good.
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Introduction to Behavioral Economics
Authors: David R. Just
1st edition
0470596228, 978-0470596227
