Soru
As Betsy's income decreases, her demand for magazines decreases. What type of good are magazines for Betsy? For Betsy, magazines are __ A. a substitute B. a normal good C. a complement D. an inferior good
Çözüm
3.1
(175 Oylar)
Ruken
Usta · 5 yıl öğretmeni
Uzman doğrulaması
Cevap
D. an inferior good
Daha Fazla
## Step 1The problem is about understanding the concept of different types of goods in economics. The types of goods are defined based on how the demand for them changes with changes in income.## Step 2A normal good is one where the demand increases as income increases. This is the most common type of good.## Step 3An inferior good is one where the demand decreases as income increases. This is the opposite of a normal good.## Step 4A substitute good is one that can replace another good. For example, if the price of one good increases, consumers might switch to the other good.## Step 5A complement good is one that is used together with another good. For example, if the price of one good increases, the demand for the other good might decrease.## Step 6In this problem, Betsy's demand for magazines decreases as her income decreases. This indicates that magazines are an inferior good for Betsy.